EIC STEP Scale-Up Defence closed Tuesday with nine applications and €175 million in equity demand -- 75 percent above the €100 million available.
EIC DEFENCE
First EIC defence equity call closed: nine applicants from seven countries, €175M requested against €100M budget
On 28 October, the EIC STEP Scale-Up Defence call closed -- the first EIC instrument offering direct equity to companies in pure-defence applications, not just dual-use.
Nine applications were submitted from defence companies across seven EU member states. Together they requested €175 million in equity investment, against a total call budget of €100 million. Focus areas spanned air and missile defence and drones and counter-drone systems.
Tickets run from €10 million to €30 million per company, with investment made directly through the EIC Fund. Shortlisted candidates face interviews in January 2027, with results announced in February 2027.
WHY IT MATTERS
Oversubscribed at first close -- and a catalytic model designed to unlock three times the public capital
Demand exceeding supply by 75 percent at first close signals a structural funding gap in EU defence deep tech that the STEP instrument was designed to address.
Each EIC investment is structured to catalyse co-investment of at least three times the EIC contribution -- meaning the €100M budget is designed to unlock €300M+ in private rounds alongside it.
One in three applicants came from widening countries (member states with lower research and innovation performance), a notably broad geographic spread for a first-of-kind call.
For companies that missed the October window: the general EIC STEP Scale-Up call (non-defence deep tech, €10-30M equity) closes 25 November 2026.
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