French battery start-up Verkor said on Friday it had secured more than 1.3 billion euros (USD 1.41 billion) in green financing for its first battery gigafactory in Dunkirk, finalising its funding.
Europe is seeking to attract electric vehicle (EV) battery makers, as it tries to cut dependency on Asia and win a green subsidies race with the United States.
The financing allows Verkor to fund construction of the plant, which will supply Renault’s premium and Alpine electric models among others.
The Grenoble-based startup’s gigafactory is one of four electric vehicle battery factories planned in northern France.
“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 will have an initial production capacity of 16 GWh/year and create about 1,200 direct jobs and 3,000 indirect jobs within two years, Verkor says.
This development follows Verkor’s recent capital increase from investors, which included infrastructure funds and insurers. To date, and following Friday’s announcement, the company has secured more than 3 billion euros in funding.
