EIF Signs First PaaS Guarantee Agreement with Swedish Financing Platform Lisa&

EIF Signs First PaaS Guarantee Agreement with Swedish Financing Platform Lisa&

(IN BRIEF) The European Investment Fund (EIF) and Swedish financing platform Lisa& have signed a guarantee agreement to offer over SEK 278 million (€24.8 million) for Swedish companies with a circular business model. The deal will be supported by the Sustainability window of the InvestEU program of the European Union. Swedish small and medium-sized businesses with eco-friendly business models can access tailor-made financing solutions with reduced interest rates and longer repayment periods. Lisa& supports companies with Product-as-a-Service (PaaS) business models that promote the circular economy. This is the first portfolio guarantee transaction for the EIF that focuses on PaaS business models, facilitating reuse, more efficient use, and reduced emissions.

(PRESS RELEASE) LUXEMBOURG, 4-Apr-2023 — /EuropaWire/ — The European Investment Fund (EIF), part of the European Investment Bank Group and established to support Europe’s micro, small and medium-sized enterprises (SMEs), announces that it has signed a guarantee agreement with the Swedish financing platform Lisa& to provide more than SEK 278 million (€24.8 million) in funding for small and medium-sized Swedish businesses with a circular business model. The agreement, which is supported by the Sustainability window of the InvestEU program of the European Union, will enable environmentally responsible SMEs in Sweden to access tailored financing solutions with reduced interest rates and longer repayment periods. Lisa& specializes in supporting companies with Product-as-a-Service (PaaS) business models that promote Sweden’s transition to a circular economy.

This portfolio guarantee transaction is the first of its kind for the EIF, focusing on PaaS business models, in which companies retain economic ownership of a product and offer it to customers via a time- or use-based subscription fee. This approach is central to the circular economy, allowing for product reuse, more efficient use, and reduced emissions. Under the guarantee agreement, which covers up to 80% of Lisa&’s new financing, at least SEK 278 million will be available for small Swedish businesses with PaaS models.

EIF Chief Executive Marjut Falkstedt commented: “This is hopefully the first of many EIF transactions which will focus on the circular economy. It’s indicative of the EIB Group’s relentless pursuit of our ambitious climate mission. We all have to make more efficient use of the tools we employ in our daily lives to save valuable resources and reduce waste and this operation will help in that direction. We are delighted to become one of Lisa&’s friends and contribute to the green transition in Sweden.’’

Stefan Dahl, CEO of Lisa&, added: “The guarantee is an important building block in Lisa&’s ambition to be a leading financier of PaaS businesses. PaaS offerings and circular business models will increase in importance and be a large part of our future society. Because they are better for end users, companies and not the least the environment. Thanks to the support and confidence of the EIF, Lisa& can now offer financing to more circular businesses with PaaS business models on favorable terms.”

European Commissioner for the Economy Paolo Gentiloni said: “InvestEU is playing an important role across Europe in fostering sustainable and inclusive economic growth. This agreement enables small and medium-sized businesses to access the necessary resources to innovate and transition to a circular economy. Thanks to this agreement, Swedish businesses will receive the support they need to maximise their potential and enhance their competitiveness and resilience.”

Background information

The European Investment Fund (EIF): The EIF is part of the EIB Group. It supports Europe’s SMEs by improving their access to finance through a wide range of selected financial intermediaries. The EIF designs, promotes and implements equity and debt financing instruments targeting SMEs. In this role, EIF fosters EU objectives in support of entrepreneurship, growth, innovation, research and development, the green and digital transitions and employment.

The InvestEU programme provides the European Union with crucial long-term funding by leveraging substantial private and public funds in support of a sustainable recovery. It also helps mobilise private investment for EU policy priorities, such as the European Green Deal and the digital transition. InvestEU brings together under one roof the multitude of EU financial instruments previously available to support investment in the European Union, making funding for investment projects in Europe simpler, more efficient and more flexible. The programme consists of three components: the InvestEU Fund, the InvestEU Advisory Hub and the InvestEU Portal. The InvestEU Fund is deployed through implementing partners who will invest in projects using the EU budget guarantee of €26.2 billion. The entire budget guarantee will back the investment projects of the implementing partners, increase their risk-bearing capacity and thus mobilise at least €372 billion in additional investment.

Lisa& finances, using its proprietary tech infrastructure, companies with a Product-as-a-Service (“PaaS”) business model. Lisa& offers its services to a wide range of segments, including mobility (e.g. e-bikes and e-mopeds), office furniture, consumer goods, IT and home infrastructure (e.g. heat pumps and EV chargers). Lisa&’s mission is to create more sustainable societies and a healthier planet, by financing companies that contribute towards this joint agenda.

Press Contacts

EIB Group: Tim Smit, Tel: +352 691 286423, t.smit@eib.org

Lisa&: Viktor Tingström, Tel: +46 79 1019565, viktor@lisaand.com

European Commission: Flora Matthaes, Tel: +32 229 83951, flora.matthaes@ec.europa.eu

SOURCE: European Investment Fund