Summary sheet
The project will finance the construction of a first of a kind manufacturing facility of circular fibreboards using 100% recycled cellulose fibres at a brownfield site in Kriebstein (Germany).
The aim is to contribute to the circularity in the construction industry by manufacturing non-toxic, recyclable boards by upcycling industrial fibres streams into a circular building material. The company has developed proprietary, patented technology that transforms industrial fibre waste into high-performance, fire-retardant, lightweight fibreboards. The innovative fibreboards will be composed 100% of recycled fibres, thereby eliminating the need for virgin wood materials. The production process uses biotechnology to create natural bonds between the cellulose fibres and benefits from higher energy efficiency in the drying process, comparable to state-of-the-art Medium Density Fibreboard (MDF) production. The company's fibreboards can be recycled at the end of their life cycle, contributing to a closed-loop production model, and are expected to have a negative carbon footprint.
The Project falls under the InvestEU eligible policy area of sustainable bioeconomy and environment (circular economy). It supports innovation in circular bio-based economic technologies enabling resource efficiency and recycling of side streams. The Project will produce fire-resistant and lightweight panels from recycled paper sludge and corrugated cardboard. It uses an innovative process using enzymes to create natural bonds between the cellulose fibres, instead of glue as in the case of conventional fibre boards. Thereby, it contributes to environmental sustainability objectives, namely circular economy and pollution prevention.
The Project addresses the failure in financial markets for small, innovative and high growth companies arising from the limited access and/or prohibitive cost of financing charged by creditors/investors as a result of information asymmetries.
The equity-type venture debt that the EIB provides, is substantial to the Project's cost and complementary to the equity, providing a flexible structure adjusted to the investment needs (long tenor, interest deferred, etc). In addition, the presence of the EIB provides a signalling effect to potentially crowd-in other financiers and thus help the innovator to diversify its funding sources. The Project would not have been carried out by the EIB without the InvestEU support.
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.
Final beneficiaries will be requested to comply with applicable national and EU legislation, as appropriate.