FAIRMAT CARBON FIBER RECYCLING (IEU GT2)

The project supports the growth and capacity expansion of an innovative company in the area of carbon fibre recycling. The investments concern the development of materials and process technologies, advanced automation and robotics, and related facilities and equipment for the manufacturing scale-up. The project will be mainly carried out in the area of Nantes (France) during the period 2025-2028.

The project supports the development and implementation of an innovative, efficient and sustainable technology to produce recycled carbon fibre, addressing the lack of investment in environmentally friendly technologies and the circular economy. The solutions resulting from this project are expected to provide alternative and more sustainable recycling methods to deal with the large quantities of scrap carbon fibre, of which only a small fraction is currently recycled. The project will support the company to develop and deploy its technology at commercial scale, and it will help by building up the necessary capabilities, skills and technologies.

The Project is in line with the InvestEU objective of environment and resources, in particular with respect to projects and enterprises that implement circular economy solutions (Annex II of InvestEU Regulation). It includes research, development and deployment of innovative materials, processes and digital technologies contributing to the EU's industrial capabilities and to environmental sustainability in various end-user industries for carbon fibre, such as aviation, energy, automotive and sports, in line with the Bank's Climate Bank Roadmap.

The Project supports the development and implementation of an innovative, efficient and sustainable technology to produce recycled carbon fibre. It will contribute to improving the sustainability of carbon fibre materials and help mitigate negative environmental effects due to the increasing amount of waste from related industries.

As such, the project generates positive environmental and knowledge externalities and addresses the market failures associated with exposure to higher levels of risks in certain sectors given the early stage of development of Fairmat.

InvestEU reinforces the Bank's risk capacity allowing the Bank to address a distinct market failure and sub-optimal investment situation arising from the ongoing difficult context of fundraising for the cleantech sector. The Project financing provided by the EIB in the form of venture debt is crucial and additional for the Company, allowing to accelerate its development and deployment. Thanks to the participation of EIB, it will be able to diversify its funding sources and improve its financing conditions. It will also send a strong signal to the market while its Series B fundraising is ongoing.

The project would not have been carried out (to the same extent) by the EIB without the InvestEU support.

The project is not expected to have any significant negative impact either on the natural and human environment or on public health. The outcomes of the project are expected to make a strong contribution to environmental sustainability by keeping carbon fibre materials within the economy through recycling, reducing waste and generating positive externalities.

The Promoter has been assessed by the EIB as being a private company not operating in the utilities sector and not having a status of a contracting authority. Thus, it is not covered by the EU Public Procurement Directives. The Promoter has a structured sourcing strategy and appropriate procurement policies in place. Under these conditions, the procurement procedures followed by the Promoter are suitable for the project and satisfactory to the EIB.