EIF makes largest defence investment yet with €50M backing for Join Capital

The European Investment Fund (EIF), part of the EIB Group, today announced a €50 million commitment to Join Capital’s third fund as Europe moves from defence spending announcements to rebuilding industrial capability. The commitment is the EIF’s largest to date in defence and is supported by the InvestEU Defence Equity Facility, which is designed to strengthen Europe’s defence technological and industrial base by backing venture capital funds. 

Join Capital’s Fund III, targeting €235 million, will invest in 25 early-stage deeptech startups across Europe developing technologies with critical capabilities in defence, dual-use, security and space.

Join Capital has backed early-stage defence and deeptech innovators across Europe, including Optics11 (Netherlands), Quadsat (Denmark), Kreios Space (Spain), Quantum Optics Jena (Germany) and 2D Photonics (Italy). These companies span fibre-optic sensing for critical infrastructure, quantum-secure communications, advanced electronic payloads, and cybersecurity.

“We back founders whose technologies create an asymmetric advantage for their customers in the military and commercial industry. Investments in such dual-use technologies have a doubling effect, they create both deterrence and economic growth for Europe,” said Jan Borgstädt, a Founding Partner at Berlin-based Join Capital.

"This investment, backed by the InvestEU fund, could not come at a better time, given the strategic importance attached to the fields of space, security and defence," said EIF Chief Executive Marjut Falkstedt.

"With this backing, we are confident that additional investments will follow, helping Europe in building a robust ecosystem for innovative defence solutions.”

“Innovation and disruptive technologies are crucial for the EU's defence readiness. By investing in specialist defence Venture capital funds, like Join Capital, the Commission and the EIF are strengthening the financial ecosystem that nurtures and supports our defence innovators, startups and SMEs to grow and scale up in Europe,” said Commissioner Andrius Kubilius.