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Reference: 20200761
Release date: 8 July 2021

Promoter – Financial Intermediary

ALTANA AG

Location

Description

The EIB financing will support the Promoter's research and development programme in 2021-2024. The Promoter develops and produces specialty chemicals including additives, coatings, sealants and adhesives, effect pigments, impregnating resins and varnishes. The research, development and innovation (RDI) programme has a strong focus on environmental sustainability.

Additionality and Impact

Research and development is associated with positive knowledge externalities, resulting to underinvestment relative to the social optimum as they insert a wedge between private and social returns to investment. The project helps the promoter and its clients to make their products and production more environmentally friendly. Therefore, it results in positive environmental externalities. These products and technologies are to be deployed by the promoter's industrial clients and thus the environmental benefits will radiate through the whole value chain. The positive environmental externalities are similarly not fully reflected in the financial returns of the investments. Overall, the EIB financing will strengthen the promoter's capability to investment in R&D, complement other financing sources, and improve its credit risk profile by extending the debt maturity profile. EIB's favourable customised terms are highly appreciated by the company. Therefore, the loan is expected to provide a positive signalling effect in the market and crowd in complementary financing sources.

Objectives

The EIB financing will support the Promoter's research, development and innovation (RDI) programme with a strong focus on developing sustainable solutions for products and technologies and the Promoter's goal to reach climate neutrality by 2025. The outputs of the programme will facilitate manufacturing of products, which use toxic-free materials and have higher recyclability and degradability, as well as support design of production processes that are resource- and energy-efficient.

Sector(s)

Proposed EIB finance (Approximate amount)

EUR 250 million

Total cost (Approximate amount)

EUR 553 million

Environmental aspects

The project includes RDI activities that are not specifically mentioned under the EIA Directive and that will be carried out in existing facilities without changing their already authorised scope. The project will therefore not require an environmental impact assessment (EIA) under the directive 2014/52/EU amending directive 2011/92/EU.

Procurement

The Promoter has been assessed by the EIB as being a private company not subject to EU rules on public procurement or concessions. However, if after the project appraisal, the EIB were to conclude that the Promoter is after all subject to EU public procurement legislation (Directive 2014/25/EU), then the Bank would require the Promoter to ensure that contracts for the implementation of the project have been and will be tendered in accordance with the relevant applicable EU procurement legislation (Directive 2014/25/EU, as well as Directive 92/13/EEC), as interpreted by the Court of Justice of the EU, with publication of tender notices in the Official Journal of the EU, as and where required.

Status

Signed - 21/06/2021

Disclaimer

Before financing approval by the Board of Directors, and before loan signature, projects are under appraisal and negotiation. The information and data provided on this page are therefore indicative.
They are provided for transparency purposes only and cannot be considered to represent official EIB policy (see also the Explanatory notes).

Related tags

Germany EU Countries Industry