Stegra has secured in-principle commitments for EUR 1.4 bln (USD 1.65 bln) in new financing to complete construction of its green steel plant in Boden, Sweden.
The funding round is led by Wallenberg Investments, which has formed a consortium including Temasek and IMAS. Existing shareholders, including Altor, Hy24 and Just Climate, are also supporting the transaction, alongside lenders subject to approvals.
The financing provides a fully funded path to complete construction and commissioning of the project. Proceeds will be used to cover remaining construction costs, scope expansions and contingency requirements, while strengthening the company’s financial position.
Following a slower period during fundraising, Stegra plans to ramp up construction activities, with the project timeline currently under review.
The transaction remains subject to credit approvals, documentation and regulatory clearances. Signing is expected by end-April, with financial close targeted for June 2026.
Separately, investors intend to nominate Leif Johansson as chair of the board following completion of the financing, alongside additional board changes.
Stegra is developing one of Europe’s flagship low-carbon steel projects. The facility will include a direct reduction plant, hydrogen electrolyzers, two electric arc furnaces, and downstream rolling and finishing facilities. Initial production capacity is planned at around 2.5 mln tons per year, with potential expansion to 5 mln tons annually in a later phase.
1 USD / 0.84 EUR
