European Investment Bank (EIB) has announced its first investment in small modular reactor (SMR) technology, providing up to €40 million to Finland-based startup Steady Energy. The investment will support the company’s development of a heat-only SMR, as an alternative to fossil fuels and other combustion-based energy sources.
This financing package, involving institutional, strategic, and retail investors, is part of the EIB’s strategy to bring Europe’s first Small Modular Reactors (SMRs) and Advanced Modular Reactors (AMRs) online by the early 2030s.
Steady Energy’s 50 MW reactor concept is designed to provide low-carbon heat to district heating networks. The reactor is built on existing proven light water reactor technology, with passive safety features and a simpler design to reduce costs. It can also be built underground for enhanced safety and security.
The funding will support Steady Energy’s research and development, testing, and licensing activities, as the company moves towards its first commercial deployment. This will take place in Finland between 2026 and 2028.
According to EIB Group Vice-President Karl Nehammer, “The support to Steady Energy is a flagship example of how the EIB Group is backing innovation to strengthen Europe’s competitiveness, enhancing energy autonomy, and expanding access to affordable clean energy. We are actively looking to support Europe’s most promising SMR pioneers, as they play a crucial role in building a more secure and resilient European energy mix.”
Steady Energy, a spin-off from the Technical Research Centre of Finland VTT in 2023, is currently building a non-nuclear pilot facility in Helsinki to test key safety systems and support the licensing process with the national regulator.
Unlike conventional nuclear power plants and most other SMRs, Steady Energy’s reactor produces heat as its main output, which can be directly supplied to district heating systems. This design allows for a much larger share of the reactor’s thermal output to be used, and its simpler design reduces capital and production costs.
Steady Energy’s Chief Executive Officer, Tommi Nyman, stated, “We are extremely pleased that the EIB has decided to support Steady Energy as we proceed towards our first concrete projects in the next few years. Over 40 percent of final energy demand is heat, and most of it comes from fossil fuels. With Steady Energy’s solution, we can wean ourselves further away from imported fuels.”
The EIB’s investment in Steady Energy takes the form of a senior unsecured convertible loan, providing the company with long-term patient capital. The EIB also has the option to convert its investment into listed shares.
This operation is backed by the InvestEU programme, which supports investments in innovation and the green transition.
About EIB Group
The EIB Group is the financing arm of the European Union, owned by the 27 Member States, and one of the largest multilateral development banks in the world. In 2025, the EIB Group signed €100 billion in new financing and advisory services for over 870 high-impact projects. Its eight core priorities support EU policy objectives, including climate action and the environment, digitalisation and technological innovation, security and defence, territorial cohesion, agriculture and the bioeconomy, social infrastructure, strong global partnerships, and the savings and investments union.
About InvestEU
InvestEU is a programme that provides the European Union with long-term funding, leveraging substantial private and public funds to support a sustainable recovery. It also helps crowd in private investment for the European Union’s strategic priorities, such as the European Green Deal and the digital transition. InvestEU brings all EU financial instruments previously available for supporting investments within the European Union together under one roof, making funding for investment projects simpler, more efficient, and more flexible.
About Steady Energy
Steady Energy is a Finnish nuclear technology company developing a new generation of small modular reactors (SMRs) designed for district heating. Its LDR-50 reactor is based on proven light-water technology, combined with a simplified design focused exclusively on producing heat. The company aims to make nuclear energy more cost-effective and establish its technology as a scalable solution for decarbonising district heating globally. Steady Energy was founded in 2023 as a spin-off from the Technical Research Centre of Finland VTT and currently has over 60 employees.
In a recent development, Steady Energy has announced a contemplated combination with 3North Partners Plc, a Finnish public limited liability company, and the listing of the combined company on Nasdaq First North Growth Market Finland. This will further strengthen the company’s position as a leader in the SMR market.
For media use, photos of the EIB Group’s representatives and headquarters, logo files, and video B-roll are available here.
