Stegra closes €1.4bn financing round

The round is led by a Wallenberg Investments-led consortium and has support from investors and the original lending group.

Henrik Henriksson, CEO of Stegra, said: “We are grateful for the support for the work we are doing in bringing near zero emissions steel to the market from both new and existing investors, as well as from lenders. It’s a strong sign of confidence in our business case and the project.”

The consortium consists of existing investors IMAS and Temasek, as well as new investors Bolero and SEB-Stiftelson.

The financing has also received complete approval from the Stegra lender group and all banks participating in the financing package continue to support the project.

Håkan Buskhe, head of special investments at Wallenberg Investments, stated: “We are pleased that this transaction is now closed. Together with Bolero, IMAS, SEB-Stiftelsen and Temasek, as well as Altor and other new and existing investors, we will now work closely with the Stegra team to complete and commission the plant in Boden.

“This large-scale green project represents an important step in Sweden's competitiveness and the EU's security of supply.”

A new holding company, Stegra Holding AB, owned by investors from the new financing round now holds over 90% of the shares and votes in Stegra.

Furthermore, the companies in the consortium have an indirect majority shareholding in Stegra through Stegra Holding AB.

Leif Johansson is set to become the new chair of the board, representing the Wallenberg Investments-led consortium.

Johansson added: “I'm very pleased to now have a very strong board in place – one that combines deep industrial competence with broad international experience, and that I'm confident will make a great team for Stegra.”