STOCKHOLM, March 11 (Reuters) - Swedish startup Stegra must raise more than 2 billion euros ($2.3 billion) to complete construction of its green steel plant, more than double its previous estimate,
Stegra Targets $2.3 Billion Funding to Finish Swedish Green Steel Plant
Stegra's Funding Challenges and Project Developments
STOCKHOLM, March 11 (Reuters) - Swedish startup Stegra must raise more than 2 billion euros ($2.3 billion) to complete construction of its green steel plant, more than double its previous estimate, business daily Dagens Industri reported on Wednesday, citing unnamed sources.
Leadership Changes and Financial Strategy
The company has appointed a new CFO and shaken up its board, as it scrambles to raise more cash to finish its hydrogen-based steel plant in northern Sweden.
Company Statements and Investor Relations
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Official Response to Reports
A Stegra spokesperson told Reuters the company does not comment on "anonymous statements or speculation". -
Previous Funding Announcements
Stegra said in October it was seeking an additional $1.1 billion in financing. -
Ongoing Investor Dialogue
"We are in continuous dialogue with both existing and new investors, lenders, and potential strategic partners", a Stegra spokesperson said on Wednesday. "That work continues and we expect that we will need until the end of the quarter to be ready."
Background on Stegra's Green Steel Project
Stegra, formerly H2 Green Steel, is building a hydrogen-based steel plant in northern Sweden, for which it said in 2024 it had secured 6.5 billion euros.
Industry Context and Challenges
Across Europe, a number of green steel projects have been delayed, cancelled or run into difficulties as the technology remains new and investment costs high.
Currency Exchange Rate
($1 = 0.8602 euros)
(Reporting by Greta Rosen Fondahn, editing by Terje Solsvik)
