Verkor has signed the contract that will guarantee it the role on which its entire strategy is based: to produce electric batteries at Renault, and in particular Alpine, to start with. The entire strategy of the young startup born during the pandemic converges towards this production – the one for which investors have also agreed to put their hands in their pockets and inject more than 150 million euros into Verkor, in no time. .
The production of the first 100% electric model at Alpine is expected for 2025, the startup Verkor therefore has two years to be ready. A large part of the project is based in France: the car will be produced in the Renault factory in Dieppe, the battery in Dunkirk. For once, Verkor hesitated for a long time, but decided on the north of France to set up its factory there, which will be a “mega-factory” on the model of that of Tesla.
The idea of producing in France is a real challenge, and Verkor could have chosen to relocate to Italy or Spain. Its shareholders, the French Renault, Schneider Electric, Capgemini or Arkema have certainly influenced the thinking, even if there are also foreign funds such as the Swedish EQT Ventures. Verkor needs them: the plant should cost a total of 2.5 billion euros and more than 1,000 jobs will be created.
By the end of the decade, the payroll would even reach 2,000 jobs. The start of work should begin this year and the signing of the contract with the Renault group on Thursday suggests that the start-up would be on schedule.
© Verkor
From the mining basin to the “Battery Valley”
Once completed, the French industrial site will become “the valley of the battery”the President of the Republic Emmanuel Macron mentioned it in an interview with The voice of the North in February 2022. A “renewal of the mining basin”, at the same time. The region needs it, to regain its dynamism as Paris sucks in the rest of the startups, and the politicians are particularly motivated to direct innovation-related funds into industrial startups today.
A large part of the management of this strategy goes through the France 2030 plan in which Bpifrance, the public investment bank has several mechanisms and funds. For start-ups and industrial SMEs, 2.3 billion euros will be allocated. In all, the government’s plan has set the bar at 54 billion euros (including 34 billion euros in new credits) to carry out all projects (not just industry), and 8.4 billion will be released the first year of the launch of the device (it is not very clear when the investments start).
In addition to the motivation to push Verkor, mobility start-ups (objective: to produce 2 million electric and hybrid cars) and any other industrialist, France 2030 will seek to decarbonize the entire industry, launch greentech leaders ( green hydrogen in particular), produce 20 biomedicines against cancer and chronic diseases, invest in space, food and nuclear (with “better” waste management). Entrepreneurs will really need this support from the State and a particularly close-knit ecosystem behind the same project, and compensate for the drop in risk capital with a greater focus on smart and solid projects.
