The company said the loan will support Sandvik's investments in research and development (R&D), which include advanced solutions in component manufacturing as well as solutions for electrification and automation in mining and infrastructure.

"We have a strong strategic focus on developing solutions that improve sustainability, productivity and safety in our core industries of mining, component manufacturing and infrastructure. The EIB cooperation will support our R&D initiatives and our aim to stay at the forefront and develop our technology leadership," says Stefan Widing, president and chief executive of Sandvik.

The loan has a seven-year tenor and will support Sandvik's R&D investment plans until 2025.