Following on from H2 Green Steel securing a total of € 190 million in the first close of its series B equity financing, there is clearly strong support from new and existing investors.

The equity round was co-led by new investors AMF, GIC and Schaeffler, alongside existing investor Altor Fund V. Also participating in the equity raise is new investor Swedbank Robur Alternative Equity and existing shareholders Vargas, Kingspan, FAM, Marcegaglia, IMAS Foundation, Cristina Stenbeck and Daniel Ek who continue to support the company with additional equity funding.

H2 Green Steel’s aim is to transform industries that generate significant carbon emissions, starting with steel through a green hydrogen-powered steel plant in Boden in Northern Sweden.

“We support an efficient production of green hydrogen and green steel and thereby support a cost-competitive decarbonized industry development.”

Henrik Lundh, head of alternative investments, Swedbank Robur.

After H2 Green Steel's launch in February 2021 and the close of its series A equity round the following May, H2 Green Steel has proceeded at a record pace receiving a permissibility permit for its operations in Boden, securing a 14 TWh agreement for renewable electricity and initiating ground works and construction. Now it is reaching another milestone in financing adding to the solid group of investors from the first investment round.

H2 Green Steel has pre-sold about 60% percent of its initial volumes of yet-to-be-produced decarbonized steel to customers representing a broad range of sectors including steel service centres, pipe and tube, passenger vehicles and heavy commercial vehicles, white goods and construction products.

The investors themselves are very happy. Klas Johansson, partner at Altor, says he is excited to continue supporting H2 Green Steel, while Anders Oscarsson, head of equity at AMF, said he appreciated the opportunity to invest in a world leading project. Choo Yong Cheen, chief investment officer of private equity at GIC said that his company was committed to providing capital to develop solutions that decarbonize the economy.

“Securing supply chains and making them more sustainable is a top priority for Schaeffler."

Andrea Schick, chief operating officer, Schaeffler AG.

Andrea Schick, chief operating officer of Schaeffler AG commented: “Securing supply chains and making them more sustainable is a top priority for Schaeffler. We are proud to be an investor and a strategic technology partner for H2Green Steel. Together we will contribute to decarbonizing supply chains. Through its participation, Schaeffler secures its long-term supply of green strip steel and significantly strengthens its network in this crucial material area,” says Andreas Schick, Chief Operating Officer of Schaeffler AG.

Swedbank Robur’s head of alternative investments, Henrik Lundh, said that his company supported an efficient production of green hydrogen and green steel. “The company’s ambition to take a driving role in the European green hydrogen transformation to decarbonize hard-to-abate industries, is well aligned with our mission to support disruptive, transformational companies with strong management and customer propositions, and long-term sustainable competitive advantage,” he said.