Essity's Strategic Loan Agreement
Hygiene and health company Essity has announced a significant development in its financial strategy by securing a €400 million loan agreement with the European Investment Bank. This loan, which carries favorable terms and extends over a period of seven years, is aimed at bolstering Essity's ongoing commitment to advancing innovation and development projects across all its business segments.
Enhancing Innovation for a Sustainable Future
Ulrika Kolsrud, President and CEO of Essity, articulated the company's vision behind this financial maneuver, stating, "The agreement with the European Investment Bank supports Essity's aim to further strengthen the innovation capabilities across the Group. From value-enhancing upgrades to breakthrough product launches, we are committed to combining sustainability and performance to deliver innovations that truly make a difference and raise the bar for hygiene and health." This clear objective underscores the company's dual commitment to both environmental sustainability and excellence in product performance.
Innovation Process and Consumer Insight
Essity has established a robust innovation process that integrates in-depth consumer insights with cutting-edge technology. This approach is pivotal in developing solutions that not only enhance customer value but also promote overall well-being. Through these efforts, Essity aims to increase its competitiveness in the market while minimizing its environmental impact, demonstrating a holistic approach toward both commercial success and social responsibility.
Support from the European Investment Bank
The European Investment Bank (EIB) plays a crucial role in strengthening the technological landscape of Europe, particularly in fundamental sectors such as hygiene and health. Karl Nehammer, Vice-President of the EIB, emphasized the importance of innovation investments, stating, "Europe's competitiveness depends on sustained investment in innovation that improves people's everyday lives. By supporting Essity's research and innovation programme, with a strong base in Sweden, the EIB is strengthening Europe's technological leadership in hygiene and health while advancing the green transition and the circular economy."
Role of the EIB
The EIB, as the long-term lending institution of the European Union, is owned by its Member States and is dedicated to fostering EU competitiveness and sustainability through its financing initiatives. By providing essential funding for various research and development projects, the EIB ensures that companies like Essity have the resources to innovate and lead in their respective fields.
Contact Information for Inquiries
For further inquiries, Essity has made available contact information for key personnel. Per Lorentz, Vice President of Corporate Communications, can be reached at 073 313 30 55. Additionally, Sandra Åberg, Vice President of Investor Relations, is available at 070 564 96 89. They are well-equipped to handle any questions regarding this recent development and its implications for the company.
Frequently Asked Questions
What is the purpose of the €400 million loan secured by Essity?
The loan will support Essity's research, development, and innovation initiatives across all its business sectors.
How long is the tenure of the loan agreement with the European Investment Bank?
The loan has a tenure of seven years, providing Essity with a stable financial base for its innovation projects.
Who commented on the importance of this loan for Essity?
Ulrika Kolsrud, President and CEO, highlighted the company's commitment to innovation and sustainability in her statements.
What is the EIB’s role in supporting Essity?
The European Investment Bank provides funding to enhance Europe's competitiveness in technology and innovation, which directly supports Essity's initiatives.
Who can be contacted for more information regarding this loan?
Essity's Vice Presidents, Per Lorentz and Sandra Åberg, are available for inquiries regarding the loan agreement and its impact on the company.
