SSAB has secured €2.3 billion ($2.6 billion) of green financing for its transformation project to build a mini mill in Luleå, Sweden, Kallanish hears from the steelmaker.
The financing package is covered by the Swedish National Debt Office (Riksgälden), the Italian Export Credit Agency (SACE) and the Nordic Investment Bank. Crédit Agricole CIB structured the transaction.
SSAB last year announced a €4.5 billion investment in the new mill. The company has now signed three green loan facilities.
All facilities have a long-term maturity structured to support the full lifecycle of the project.
This includes a €1.5 billion syndicated loan covered by the Swedish National Debt Office (Riksgälden) under the credit guarantees for green investments programme.
A €808 million syndicated loan backed by the Italian Export Credit Agency, SACE and a €1.15 billion loan from the Nordic Investment Bank (NIB).
The loans are structured under the green loan principles, a set of voluntary guidelines for issuing and investing in green loans.
“The great interest to participate in the financing underscores SSAB’s leading position in the steel industry, as well as our partners’ strong confidence in our transformation plan” says Leena Craelius, cfo of SSAB.
Christian Koehl Germany
