Investment Plan for Europe: EIB backs Nexus’ Smart ID solution with EUR 29 million
The European Investment Bank (EIB) and Nexus Group, a leading provider of identity and security solutions for physical and digital access, have signed a EUR 29m loan agreement. The loan will help to further accelerate the pace of Nexus’ development of its identity and access management products. The agreement was made possible by the European Fund for Strategic Investments (EFSI), the central pillar of the Investment Plan for Europe, which was launched by the EIB Group and the European Commission to boost the competitiveness of the European economy.
Nexus has created an easy-to-manage identification solution that lets organisations’ users identify themselves visually, log in, open doors, sign transactions, make payments, and use follow-me printing – all with one single “Smart ID”. This digital identity is most often hosted on a card, but mobile IDs and other authenticators can also be used. The Smart ID solution is also used for the “Internet of Things” to issue and manage trusted digital identities for things, making it possible to protect their communication.
The deal with Nexus is special in that it makes use of the new EIB venture debt product, which combines the advantages of a long-term loan with a remuneration model based on the company’s performance. Any such transaction helps to strengthen the borrower’s economic capital without diluting the shares of existing investors.
“The digital and analogue world are moving ever closer. Nexus has state-of-the-art technology and is in a unique position to enable the convergence of physical and digital access,” said Alexander Stubb, responsible for the EIB’s operations in Northern European countries. “I’m glad that the Investment Plan for Europe makes it possible for the EIB to step-up investment into highly innovative companies such as Nexus, since this will enable Sweden and Europe to keep up with the fast pace of digitisation.”
“The capital will enable an even faster roll-out of the Nexus technology into new applications. But equally important is the signal this sends to our partners, customers and users. It’s a quality seal to be backed by the EIB. Their support is the result of a very rigorous due diligence process, where they reviewed us and our potential from all possible angles,” said Lars Pettersson, CEO of Nexus.
The loan will allow Nexus to be even more impactful in its vision to improve society by enabling trusted identities through leveraging its Smart ID technology, according to Pettersson.