French battery start-up Verkor announced on Friday that it had finalized its funding by securing more than 1.3 billion euros ($1.41 billion) in green financing for its first battery gigafactory in Dunkirk.
The financing comes at a time when Europe is actively working to attract electric vehicle (EV) battery manufacturers, aiming to reduce dependency on Asia and compete in the green subsidies race with the United States. Verkor’s gigafactory is one of four electric vehicle battery factories planned in northern France.
See also: Renault-Backed Verkor Secures €2 Billion in Funding for Battery Gigafactory Construction
“This debt financing will enable us to finalize the construction of our gigafactory, which will produce its first low-carbon battery cells in 2025,” said Benoit Lemaignan, CEO of Verkor.
The gigafactory is expected to have an initial production capacity of 16 GWh/year and create approximately 1,200 direct jobs and 3,000 indirect jobs within two years, according to Verkor.
See also: Renault Group to Receive 12 GWh of Low-Carbon Batteries Annually from Verkor
In addition to the recent green financing, Verkor recently completed a capital increase from investors, including infrastructure funds and insurers. With this latest announcement, the company has now secured more than 3 billion euros in funding.
