EIB grants €18 million loan to boost EU’s critical raw material production through UP Catalyst

The European Investment Bank (EIB) has granted an €18 million loan to UP Catalyst, a Tallinn-based company that transforms industrial CO₂ emissions into critical raw materials. This strategic funding supports the EU’s mission to secure local and sustainable raw material sources.

The European Investment Bank’s €18 million venture debt funding will support key EU priorities—accelerating climate action, reducing reliance on imports, and strengthening the advanced manufacturing sector.

As the EU’s long-term lending arm, EIB is owned by the Member States and finances projects aligned with EU policy goals. These include climate and environmental sustainability, digital transformation, innovation, security and defence, regional development, agriculture and the bioeconomy, social infrastructure, and the integration of capital markets.

UP Catalyst, established in 2019 and based in Tallinn, converts industrial CO₂ emissions into competitively priced, high-performance graphite and carbon nanotubes. These materials are vital for electric vehicle batteries and are also used in paints, coatings, polymers, and concrete.

COBALT advised the European Investment Bank throughout the transaction, with a team led by Partners Kristel Raidla-Talur and Marina Kotkas, Managing Associate Grete Kuru, and Associate Elis Toim.