Defensor takes majority stake in Swedish explosives tech firm Crepitans
What's the deal? Defensor Group, a Swedish defence industry group, has agreed to invest in Crepitans ABDealroom has a profile for this one. Try Dealroom → and become its majority owner. The deal is structured as a directed new share issue, with Defensor also receiving an option to increase its stake further. Crepitans' founding team will become minority shareholders in Defensor as part of the transaction.
Crepitans is a Swedish technology company founded by researchers from FOI, the Swedish Defence Research Agency. It specialises in energetic materials, flow chemistry, and battery systems for military use.
The company also develops systems for safely clearing mines and unexploded ordnance — on land and underwater — along with mobile production systems for explosives near the point of use. The transaction is subject to customary regulatory approvals.
Why now? Europe's defence spending is surging as governments rush to rebuild military-industrial capacity after decades of underinvestment. Sweden, which joined NATO in 2024, is under particular pressure to strengthen domestic production of critical defence technologies.
"Crepitans has expertise that takes decades to build and is critical to Swedish and European defence capability," said Niclas Colliander, group chief executive officer of Defensor. The investment aims to give Crepitans the resources to scale operations and build industrial capacity.
What could go wrong? Scaling niche military technology from research to industrial production is notoriously difficult. Crepitans will need to navigate strict regulatory requirements and long procurement cycles while competing for contracts with larger, better-resourced defence firms.
The signal: Crepitans, classified as an early-growth company specialising in demining, chemical production, and rugged batteries, is exactly the kind of deep-tech spinout that European defence majors are now racing to absorb. The deal underscores how strategic acquirers like Defensor are stepping in where traditional venture funding rarely ventures — niche, regulation-heavy military technologies — as NATO members scramble to rebuild sovereign production capacity in munitions and energetic materials.
Read more: defensorgroup.se
