Defence Equity Facility 2.0

The ecosystem in focus

With an initial target size of €1 billion, DEF 2.0 aims to support the emergence and growth of pan-European venture capital, private equity, private credit, and infrastructure funds focused on defence and cybersecurity. Aiming to support 25-30 portfolio funds that in turn invest in companies across all stages.

Tech and defence in tandem

DEF 2.0 forms part of the TechEU programme and complements the European Tech Champions Initiative 2.0. It builds on our experience of deploying the first defence funding instrument under InvestEU. In 2025, the EIF committed €376 million to defence and security investments.

As Europe is strengthening its resilience and strategic autonomy, innovative technology companies have the opportunity to lead in areas ranging from cyber defence and critical infrastructure protection to advanced industrial capabilities.

To realise this potential, we need greater public and private investment across the ecosystem - supporting research & development, scaling high-growth businesses, strengthening infrastructure, and accelerating collaboration.

The fund-of-funds structure replicates the format of similar mandates under EIF management. DEF 2.0 is intended to be financed by EU Member States – with a minimum ticket size of €50 million, including via their national promotional institutions (NPIs).

The EIB Group and the EC may complement these resources with own funds.