Aira secures 200 million euros from BNP Paribas for heat pumps

Aira secures 200 million euros in financing from BNP Paribas. Among other things, the partnership creates a new asset class for sustainable investments

Stockholm, June 4, 2024 - Clean energy tech company Aira has secured €200 million in financing commitments from BNP Paribas. These funds are earmarked for the installation of Aira heat pumps in German households. Aira received this loan commitment in its first year of market entry.

New asset class for the securitization of heat pumps

The financing by BNP Paribas creates a new asset class for the securitization of heat pumps. This initiative aims to accelerate the adoption of heat pumps. Demand for clean, efficient and affordable energy for households is growing. However, low gas prices, strict regulations and high upfront costs are holding back the transition.

We are making heat pump technology accessible to every household through affordable monthly payments.

Martin Lewerth, CEO of the Aira Group

The partnership between Aira and BNP Paribas aims to overcome these hurdles. With the new financing, Aira customers can install the heat pumps without high upfront costs. This facilitates access to sustainable energy solutions. This securitization enables accessible consumer financing and is an important contribution to the transition away from fossil fuel heating in Europe. Eirik Winter, CEO of BNP Paribas Group Nordic Region, sees the partnership as a decisive step towards promoting sustainable investments.

Clean and affordable energy solutions for private households are essential for an inclusive net-zero economy. We are pleased to support Aira in this important initiative

Eirik Winter, CEO of BNP Paribas Group Nordic Region

Ane Launy, CFO of Aira Group, is also proud of the agreement. "This financing is an important building block in our fundraising strategy. The funds will help us to cope with the high upfront costs of our customers. The support from BNP Paribas underlines the importance of innovative financing for the energy transition," says Launy. This facility will make it possible to meet the growing demand for heat pumps in Europe and reduce the carbon footprint in residential buildings.

Aira was founded in 2022 by Vargas Holding in Stockholm, Sweden. The company offers sustainable energy technologies for homes. Aira accelerates the electrification of residential heating with clean energy technology and offers its customers an affordable monthly payment model. Aira is backed by various investors, including Altor, the Burda family and Collaborative Fund.