Large-scale sustainable transformation financing (291)
Large loans arranged by several financing partners for majority privately owned businesses making eligible cleaner industrial, energy, transport or other environmental investments, with KfW normally covering €7.5 million to €100 million of the lenders' risk.
Finance investment and working-capital costs, including incidental costs, through a loan arranged by a group of financing partners that shares the risk. KfW can lend as one member of that group or share some of another financing partner's risk without lending directly to you.
You can use one of two routes. Under the project route, the project must make an objectively demonstrable positive contribution to at least one environmental objective in the EU Taxonomy. Under the business-model route, your company must have aligned its business model with those objectives, or commit to doing so within the loan term, and provide suitable evidence.
Eligible investments include new, acquired or modernized facilities for climate-technology manufacturing, lower-carbon production in energy-intensive industries, low-carbon energy and related grids or storage, water and waste systems, carbon transport and storage, lower-emission mobility and green IT. Connected planning, implementation support, assessments and evidence can also be financed.
KfW's share of the end-borrower risk is normally €7.5 million to €100 million and can cover no more than 50% of the project financing. KfW must not become the largest risk bearer. It uses the same market-standard terms as the private financing partners, including maturity, repayment, margin, commitment fee and security structure, subject to its own credit and risk assessment.
Eligibility
- Your applicant must be a commercial company or project company under majority private ownership.
- A foreign company can finance a project in Germany. A German company, or its subsidiary established abroad, can finance a project outside Germany.
- Credit institutions, insurers and comparable financial institutions may hold no more than 25% of the applicant directly or indirectly. Private equity investors are exempt from this ownership cap.
- The project must meet its module's detailed technical requirements and the applicable KfW sector guidelines. It must also meet the environmental and social laws and standards of the country where the investment takes place.
- Refinancing and additional finance for an already completed project are excluded. KfW's general exclusion list and any conditions in it also apply.
- You can combine this financing with other public loans, allowances or grants only when the public sector's total share of the end-borrower default risk, including KfW, is no more than 50% of the financing.
How to apply
- Status
- Dates not announced
Approach a bank, insurer, fund or other financing partner to arrange the loan with multiple lenders. You do not apply to KfW directly: your financing partner invites KfW either to lend alongside the others or to share some of that partner's risk.
After completing a project financed under the project route, provide evidence that the funds were used in line with the programme. In either route, you must show that the programme's eligibility requirements are met.