Green light granted for transport equipment leasing company loan by Norton Rose Fulbright
2025-06-20
Green Bucks Pumped into Touax: A Green Loan Story
The shrewd legal eagles at Norton Rose Fulbright, a global powerhouse in the legal game, have worked their magic for French transport equipment leasing company Touax, orchestrating a whopping €50 million green loan from the EU's climate bank, aka the European Investment Bank (EIB). This hefty cash injection is slated to fuel Touax's Sustainable Transportation project.
The Norton Rose Fulbright squad, led by party leader Jeremy Grant and rising star Elise Najjar, helped Touax navigate the I's and the C's of the loan, as well as the connected intercreditor arrangements.
Touax, a chameleon in the transport industry, started modestly as a river transport service provider. Nowadays, the company manages a cool €1.3 billion in transport assets, ranging from containers to freight wagons, and barges. They serve over 2,000 customers and aren't slowing down anytime soon.
This green injection landed on 30 April 2025 and comes with a 14-year leash. The loan is supported by a guarantee from the European Union's InvestEU program, designed to financially back sustainable infrastructure projects that are kinder on the planet.
The dough is earmarked for Touax's freight railcar business division, aiding their long-term investment strategy and their Sustainable Transportation project. It also opens the doors for cross-collateralization within Touax's rail division's ingenious secured financing system, which merges debt from asset-focused commercial banks with new EIB debt.
Fabrice and Raphaël Walewski, the managing partners of Touax, shared their thoughts on this investment:"This lengthy loan from the European Investment Bank meshes perfectly with our sustainable financing strategy. It allows us to enter the upcoming investment cycle in the freight railcars segment of our business with absolute confidence. EIB backing bolsters the infrastructure aspect of our corporate persona and affirms our unwavering commitment to greening the economy."
EIB Vice-President Ambroise Fayolle expressed his delight: "Swapping out road transport for rail freight is a clever method to lower CO2 emissions and green up the transport industry. It's a foxy move by the EIB, the EU's climate bank, to back Touax's investments in new railcars, which in turn increases the number of railcars available for lease. This allows rail operators to really push forward with their environmentally-friendly freight transport initiatives in the freight transport sector."
Touax turned to McCann FitzGerald for legal advice, while the EIB sought guidance from William Fry in the drafting of the agreements.
[1] The European Investment Bank (EIB) provides essential financing for Touax's green transportation initiative, backed by the EU's InvestEU program guarantee.
[2] The EIB's mission is to support Touax's long-term investment plan in sustainable transport, contributing to the expansion of the supply of leased freight railcars and helping rail operators to pursue greener freight transport solutions.
[3] The support aligns with the EU's climate goals, as it enables a shift from road transport to rail, reducing CO2 emissions.
[4] Touax's green financing strategy is reinforced by the EIB's backing, granting stability and confidence for Touax to carry out its plans to invest in cleaner transport.
- The European Investment Bank (EIB) has shown its commitment to environmental-science and climate-change mitigation by providing essential financing for Touax's green transportation initiative, backed by the EU's InvestEU program guarantee.
- By supporting Touax's long-term investment plan in sustainable transport, the EIB aims to contribute to the expansion of the supply of leased freight railcars, providing an opportunity for rail operators to pursue greener freight transport solutions, thereby promoting business in the transport industry.
- This investment aligns with the EU's climate goals, as it enables a shift from road transport to rail, thereby reducing CO2 emissions and making a significant contribution to the science of sustainable development and finance.
