Investment Plan for Europe: EUR 70m loan from EIB to AVL
The European Investment Bank (EIB) is providing a EUR 70m loan to AVL List GmbH (AVL). Based in Austria, AVL is a world leader in the development of innovative powertrain systems – together with the necessary measurement and testing technology and simulation software – for the global automotive and transport industries. For 70 years, AVL has been working with global companies across the world in fields ranging from internal combustion engines, fuel cells and electric drives to alternative fuels, control software, transmissions and batteries.
The EU bank's loan is specifically targeted at supporting the business with its electric drive-related activities, including selected R&D projects for hybrid and fully electric powertrains as well as advanced driver assistance systems (ADAS) for connected and autonomous vehicles. The EIB loan was made possible by the European Fund for Strategic Investments (EFSI). EFSI is the main pillar of the Investment Plan for Europe (IPE), under which the EIB Group and the European Commission are working together as strategic partners to boost the competitiveness of the European economy.
Andrew McDowell, EIB Vice-President responsible for activities in Austria, said: “I am pleased that this new loan is continuing the constructive and fruitful partnership between the EIB and AVL. As the EU bank, we support pioneering technological champions such as AVL, which are shaping our future with high quality, cost-effective and sustainable technology. This kind of cutting-edge technology builds expertise and creates jobs, having a direct positive impact on people's daily lives. AVL is a major innovation leader in the powertrain sector, paving the way for more environmentally friendly vehicles and efficient measures to combat climate change, which is one of the EU bank's priorities.
European Commission Vice-President for Jobs, Growth, Investment and Competitiveness Jyrki Katainen said: “I am delighted that a company like AVL is getting the most out of the Investment Plan for Europe. Thanks to the European Fund for Strategic Investments, the EIB can provide a EUR 70m loan to AVL, enabling it to develop new, innovative and environmentally friendly technologies to improve mobility. This means that the Investment Plan is once again meeting its objectives: strengthening innovation, creating jobs and helping to meet the Paris climate goals. I hope to see more projects of this kind in Austria in the near future.”
AVL Group CFO Werner Schuster added: “This EIB loan represents the continuation of a successful partnership in place for more than ten years, which started in 2007 with the provision of one of the EIB's first direct corporate research, development and innovation loans in Europe. AVL will apply this financing to support in-house research for the development of electric drives for hybrids and e-vehicles, fuel-cell drive systems and autonomous vehicles (ADAS), as well as the development of the associated measurement, testing and simulation technology. With this financing, the EIB is making a major contribution to AVL's further development of highly creative, sophisticated and customised powertrain system solutions, including reduced CO2 emissions for more environmentally friendly vehicles.”