Jóhann Magnús Jóhannsson

On 13 May 2025, the Icelandic government launched a public share offering for a 20% stake in Íslandsbanki, marking the final phase of the bank’s privatisation and the largest share offering in Iceland’s history. The offering closed on 15 May, raising ISK 90.5 billion, with total demand reaching ISK 190 billion.

Public participation was unprecedented, and the offering was upsized to meet demand. Over 31,000 retail investors contributed ISK 88.2 billion through Offer Book A, which was exclusively designated for individuals. These retail investors received full priority allocation without any reductions and represented approximately 97.4% of the total offering value. The privatisation is the largest in Icelandic history and the total privatisation proceeds reached ISK 224.7 billion, taking int account the 35% sold in June 2021 for ISK 55.3 billion, 22.5% sold in March 2022 for ISK 52.7 billion.

The firm advised on negotiations with the managers of the sale, drafting of the prospectus and other documents, as well as related legal advice.

The firm extends its congratulations to the Ministry of Finance and Economic Affairs on this highly successful and historic public offering and expresses its sincere thanks for an excellent collaboration, as well as to Íslandsbanki, Landsbankinn, and Milbank LLP.

BBA//Fjeldco is the lead Icelandic counsel for Marel hf., one of Iceland’s largest and most valuable companies which is listed on Nasdaq Iceland, as the recipient of a non-binding proposal from John Bean Technologies Corporation (“JBT”) for the combination of the two companies in late 2023. In January 2024 it was publicly announced that JBT intended to make a voluntary takeover bid for all shares in Marel under the Icelandic Act on Takeovers. Our involvement included drafting and providing input on structure and transaction documents, as well as advice on disclosure requirements and implications of the imminent offer on the conduct of the company’s business and the duties of its board. This is a particularly complex transaction as its cross-border elements raise a number of novel issues, JBT and Marel are competitors, Marel is listed in Iceland and has a large shareholder base by Icelandic measures, JBT is listed in the United States and subject to filing requirements there, and the consideration offered by JBT is a mix of JBT shares and cash. This M&A transaction is as big and complex as they come in Iceland and if the takeover is successful, it would constitute the biggest public takeover in Iceland since 2007.

BBA//Fjeldco acted for Danish multinational company Coloplast in the acquisition of the entire share capital of Kerecis. The transaction values the target company at up to USD 1.3 billion, making Kerecis the first so-called "unicorn" coming out of Iceland and is therefore among the largest M&A deals in the history of the country.

Based in Isafjordur, in the Westfjords of Iceland, Kerecis has grown fast on the back of its innovative wound care product based on fish-skin technology. Coloplast is a global leader in providing intimate health care services that develops and manufactures products that help people with private medical conditions to improve their quality of life.

The strong commercial presence of Kerecis in the US and the buyer being a Danish company added complexity to the due diligence exercise and closing mechanics, providing an opportunity for BBA//Fjeldco to make good use of its cross-border experience.