Release date: 25 November 2021
Promoter – Financial Intermediary
NEXANS SALocation
Description
The project consists of an investment programme in research, development and innovation (RDI) and advanced manufacturing at different locations in Europe in the field of High Voltage (HV), Medium Voltage (MV) and Low Voltage (LV) power cables and connections. The activities span from basic research to a first-of-a-kind industrial implementation, line upgrades in plants with technology developed in-house, and the digitalisation of plants. They aim at supporting the Promoter's scorecard in order to contribute to carbon neutrality by 2030, and growth strategy based on serving the energy transformation and on promoting environmental sustainability in all its activities, with improvements in production and the development of advanced more performant and recyclable and eco-sustainable cables and wires.
Additionality and Impact
The project will support Nexans, a French player, world's second-largest cable manufacturer, in its investment programme in Research, Development and Innovation (RDI) and advanced manufacturing at different locations in Europe (France, Belgium, Norway and other EU countries) in the field of High Voltage (HV), Medium Voltage (MV) and Low Voltage (LV) power cables and connections. The project aim at supporting the promoter's scorecard in order to contribute to carbon neutrality by 2030, and growth strategy based on serving the energy transformation and on promoting environmental sustainability in all its activities.
With its RDI activities, spanning from basic research to first-of-a-kind industrial application, and the interaction with universities, suppliers and customers, the project contributes to "Innovation, Digital and Human Capital". The project contributes to the deployment and grid integration of renewables in the EU, and hence to climate action.
Among market failures addressed there is: the lack of knowledge and capacity in these fields, which is dearly needed for the massive cost-effective deployment and grid integration of renewables in the EU, as required for the challenging energy transition (substitution of fossil-based generation, catering for additional demand for e-mobility and green hydrogen).
The project is largely located in European Free Trade Association (EFTA) and EU Cohesion Regions. It facilitates the territorial and maritime cooperation between places in different countries, which helps make better use of development potential and address common challenges; and it supports the strengthening of the EU's economic, social and territorial cohesion by providing additional skilled employment opportunities.
EIB's involvement will also provide a highly flexible financial product to the borrower, allowing it to diversify its financing sources, lengthen its average debt maturity and strengthen its overall financial position.
Objectives
Support the Promoter's growth strategy to better serve the energy transformation and promote environmental sustainability in all its activities, with advanced innovations in production and the development of advanced performant and more recyclable and eco-sustainable cables and wires.
Sector(s)
- Industry - Manufacturing
Proposed EIB finance (Approximate amount)
EUR 200 million
Total cost (Approximate amount)
EUR 450 million
Environmental aspects
The RDI activities will be carried out in already existing and authorised research and development (R&D) facilities. These do not appear to fall under any Annexes of the Environmental Impact Assessment Directive - Directive 2014/52/EU amending Directive 2011/92/EU and therefore do not require screening or an EIA Report. The capacity upgrades may possibly require a screening or EIA. The Bank will review the situation and - where relevant, EIA documentation - during appraisal, and ensure adherence to EU environmental and social standards.
Procurement
The Promoter has been assessed by the EIB as being a private company not operating in the utilities sector and not having the status of a contracting entity, and is thus not subject to EU rules on public procurement.
Status
Signed - 6/10/2021
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).