Release date: 3 October 2024
Promoter – Financial Intermediary
INTESA SANPAOLO SPALocation
Description
The operation consists of a "Linked Risk Sharing guarantee (LRS)" on new financing for mid-caps in Italy through the intermediation of Intesa Sanpaolo. 18% of the new investments are expected to contribute to Climate Action, in line with REPowerEU objective and eligibilities.
Additionality and Impact
This Growth for Mid-Cap Operation is designed to provide support to Mid-Caps in order to foster access to finance, reduce information asymmetries and contribute to long-term economic growth. Given the economic uncertainty due to economic instability, inflation and war in Europe's vicinity, the operation may alleviate some of the pressures faced by the real economy.
The operation is in line with the EU's and the Bank's strategic objective to support uninterrupted access to finance for Midcaps through the provision of a fully delegated guarantee instrument. It contributes to the Bank's lending priority objectives on Energy (Renewable Energy, Energy Efficiency and EV charging infrastructures), and Climate Action and Environmental Sustainability (Climate Action) through the financing of renewable energy projects and, to a lesser extent, energy efficiency and electric vehicles charging infrastructures investments located in Italy. The operation will also contribute to 2030 decarbonisation targets set out in the NECPs for Italy.
The operation is expected to support job creation, carbon emission and air pollution reduction and RE market integration.
The Financial Intermediary is an established player in the target market and has a good track record of implementing EIB products and allocations. The guarantee will alleviate capital and credit related concerns of the Financial Intermediary and thereby free up additional lending capacity, with specific measures in favor of renewable energy investments. As the first Mid-Cap guarantee in Italy with a partial focus on Renewable energy investment, the operation is expected to carry a signalling effect on the soundness of this type of project.
The individual projects are expected to have a Very Good economic return and lead to a broader social benefit, contributing to Art 309 (a) and (c) of the Treaty of Functioning of the EU.
Objectives
The aim is to enhance access to finance to the final beneficiaries and support their investment efforts into Climate Action.
Sector(s)
- Credit lines - Credit lines
Proposed EIB finance (Approximate amount)
EUR 200 million
Total cost (Approximate amount)
EUR 513 million
Environmental aspects
The proposed operation falls within the scope of the EIB's Environmental and Social Standards - "Standard 11 Intermediated Finance". The Borrower / Financial Intermediary has adequate capacity, systems and processes in place for identifying, assessing, managing and monitoring environmental, climate and social (ECS) risks related to the potential sub-projects benefitting from EIB support. The Final beneficiaries will be required to comply with applicable national and EU legislation in respect of environmental and social matters, as appropriate.
Procurement
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.
Status
Signed - 2/12/2025