AFYREN's 9 Million Euro Boost: A Game Changer for Sustainable Chemistry?
Thursday, Nov 28, 2024 12:08 pm ET
4min read AFYREN, a leading French greentech company, has recently secured a significant financial boost to support the start-up of its innovative AFYREN NEOXY plant. The company obtained a 9 million euro loan from Bpifrance, a French state investment bank, as part of the "France 2030" investment framework. This substantial financing will enable AFYREN to strengthen its financial position during the initial stages of continuous production and the ramp-up period.
The loan, with a 15-year term and a 3-year grace period, is a testament to AFYREN's innovative industrial approach and its ability to secure financing in a complex environment. The non-dilutive financing will be paid in two installments, with the first 6 million euros already disbursed, and the remaining 3 million euros subject to start-up milestones. This funding is part of a broader plan by AFYREN to further strengthen its financial position and support the completion of start-up stages, ultimately leading to the delivery of continuous production of commercial products for its customers.
AFYREN's unique fermentation technology, based on a completely circular model, allows for the production of biobased, low-carbon ingredients. These ingredients can be used in various strategic sectors, including human and animal nutrition, flavors and fragrances, life sciences and materials, and lubricants and technical fluids. By valorizing local biomass from non-food agricultural co-products, AFYREN's technology replaces petro-sourced ingredients, contributing to the decarbonization of industrial supplies.
The recent financing will support operational adjustments required to achieve continuous production at AFYREN NEOXY. Specifically, the loan will fund the replacement of corrosion-damaged equipment and additional production ramp-up campaigns. These investments aim to ensure the successful launch of AFYREN NEOXY, which is expected to deliver commercial products continuously by the end of 2024.
AFYREN's first French plant, AFYREN NEOXY, is a joint venture with Bpifrance's SPI fund and is located in the Grand-Est region of France. The plant serves mainly the European market and is expected to make a significant impact on the region's economy and sustainability efforts.
The 9 million euro loan from Bpifrance aligns with AFYREN's broader financial strategy, demonstrating its ability to secure funding in a complex environment. This non-dilutive financing validates AFYREN's innovative industrial approach and supports the start-up phase of its AFYREN NEOXY plant. This loan, with a 15-year term and a 3-year grace period, complements AFYREN's broader financing plan to strengthen its financial position during the start of continuous production and the ramp-up period.
AFYREN is not only focused on its domestic market but is also pursuing projects in Thailand with a world leader in the sugar industry and developing its presence in the Americas, following up on previously signed distribution agreements. The company employs about 120 people in Lyon, Clermont-Ferrand, and Carling Saint-Avold and invests 20% of its annual budget in R&D to further develop its sustainable solutions.
In conclusion, AFYREN's 9 million euro loan from Bpifrance is a significant milestone in the company's journey to decarbonize industrial supplies. The funding will support the start-up and ramp-up of AFYREN NEOXY, ultimately contributing to a more sustainable and circular economy. As AFYREN continues to innovate and expand its reach, it remains an attractive investment opportunity for those seeking to support sustainable chemistry and green technologies.
The loan, with a 15-year term and a 3-year grace period, is a testament to AFYREN's innovative industrial approach and its ability to secure financing in a complex environment. The non-dilutive financing will be paid in two installments, with the first 6 million euros already disbursed, and the remaining 3 million euros subject to start-up milestones. This funding is part of a broader plan by AFYREN to further strengthen its financial position and support the completion of start-up stages, ultimately leading to the delivery of continuous production of commercial products for its customers.
AFYREN's unique fermentation technology, based on a completely circular model, allows for the production of biobased, low-carbon ingredients. These ingredients can be used in various strategic sectors, including human and animal nutrition, flavors and fragrances, life sciences and materials, and lubricants and technical fluids. By valorizing local biomass from non-food agricultural co-products, AFYREN's technology replaces petro-sourced ingredients, contributing to the decarbonization of industrial supplies.
The recent financing will support operational adjustments required to achieve continuous production at AFYREN NEOXY. Specifically, the loan will fund the replacement of corrosion-damaged equipment and additional production ramp-up campaigns. These investments aim to ensure the successful launch of AFYREN NEOXY, which is expected to deliver commercial products continuously by the end of 2024.
AFYREN's first French plant, AFYREN NEOXY, is a joint venture with Bpifrance's SPI fund and is located in the Grand-Est region of France. The plant serves mainly the European market and is expected to make a significant impact on the region's economy and sustainability efforts.
The 9 million euro loan from Bpifrance aligns with AFYREN's broader financial strategy, demonstrating its ability to secure funding in a complex environment. This non-dilutive financing validates AFYREN's innovative industrial approach and supports the start-up phase of its AFYREN NEOXY plant. This loan, with a 15-year term and a 3-year grace period, complements AFYREN's broader financing plan to strengthen its financial position during the start of continuous production and the ramp-up period.
AFYREN is not only focused on its domestic market but is also pursuing projects in Thailand with a world leader in the sugar industry and developing its presence in the Americas, following up on previously signed distribution agreements. The company employs about 120 people in Lyon, Clermont-Ferrand, and Carling Saint-Avold and invests 20% of its annual budget in R&D to further develop its sustainable solutions.
In conclusion, AFYREN's 9 million euro loan from Bpifrance is a significant milestone in the company's journey to decarbonize industrial supplies. The funding will support the start-up and ramp-up of AFYREN NEOXY, ultimately contributing to a more sustainable and circular economy. As AFYREN continues to innovate and expand its reach, it remains an attractive investment opportunity for those seeking to support sustainable chemistry and green technologies.
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