Release date: 29 November 2021
Promoter – Financial Intermediary
VOITH GMBH & CO KGAALocation
Description
The project comprises a selection of the promoter's planned expenditures in research, development and innovation (RDI) focusing on more sustainable and efficient papermaking processes and machines. The project will be carried out primarily in the promoter's research and development (R&D) centres in Germany and, to a minor extent, in other R&D locations in the EU in the period 2021-2024.
Additionality and Impact
The financing of this project supports RDI activities that generate significant positive knowledge, technology and environmental externalities, through the creation of innovative processes, products or services and through skills development and upgrading. The financing of this project addresses the failure in financial markets for RDI, arising from limited access and higher cost of financing because of factors such as information asymmetries (linked to, and intensified by, the inherent uncertainty of RDI activities, leading to high screening and monitoring costs).
The current project would further strengthen the promoter's capacity for its long-term oriented innovation. The project is expected to have important positive knowledge spillovers through R&D cooperation with universities and research labs, R&D cooperation with upstream suppliers, and inter-group mobility of highly skilled staff and R&D personnel. Positive environmental spillovers through the development and manufacturing of products with enhanced energy efficiency, reduced use of natural resources such as water and natural fibres or the development of processes to allow the use bio material to substitute plastic is different applications. The project contributes also to the advancement of the EU industry technology leadership.
The Bank`s contribution of the project is supported by a combination of its financial advantage, flexible terms of the loan as well as helping to crowd-in other financiers, thereby facilitating its full financing and implementation.
Objectives
The financing supports the Promoter's research on reduced energy and water usage in the papermaking processes, on increased fibre yield with improved preparation processes, on the application of new manufacturing methods for increased efficiency and functionalities of products, as well as on technologies for a broader application of paper applications to replace plastic.
Sector(s)
- Industry - Manufacturing
Proposed EIB finance (Approximate amount)
EUR 100 million
Total cost (Approximate amount)
EUR 256 million
Environmental aspects
RDI activities on paper machines are not listed in the annexes of the EIA directive 2011/92/EU amended by directive 2014/52 EU; therefore, the project is not subject to the EIA directive. The Bank's services will review the environmental aspects of the project during the due diligence process.
Procurement
The Promoter has been assessed by EIB as being a private company not operating in the utilities sector and not having a status of a contracting entity, and is thus not subject to EU rules on public procurement. However, if at the project appraisal, the EIB were to conclude that the Promoter is subject to the EU public procurement legislation then the Bank would duly inform the Commission Services and would require the Promoter to apply those rules.
Status
Signed - 17/11/2021
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).