BAE-backed Expeditions Raises €197M Fund for European Defense Startups
The Warsaw Firm, With BAE Systems and the NATO Innovation Fund Among Its Backers, Will Spread the Money Across Up to 40 Early-Stage Companies.
July 7, 2026 - 12:59 pm
Expeditions, the Warsaw-based venture firm backed by BAE Systems and the NATO Innovation Fund, has closed a €197m ($225m) fund to support the next wave of European defense startups. The raise exceeded an earlier €150m target, boosted by a €25m cheque from BAE. The firm plans to invest the capital in as many as 40 early-stage companies developing technologies with immediate operational relevance to Europe’s capability gaps.
Expeditions focuses on sovereignty, aiming to create military technologies that Europe can develop and control itself rather than importing them. This comes as the continent rapidly closes capability gaps exposed by the war in Ukraine.
Founded in 2021 by Dr Mikolaj Firlej and Stanislaw Kastory, Expeditions invests at the intersection of security and deep tech, with a remit spanning dual-use fields like cybersecurity, intelligence, autonomy, AI, quantum, communications, and space. They claim to have backed almost 30% of Europe's 30 most well-funded defense startups, including Alpine Eagle, Comand AI, Nu Quantum, and Labrys.
The fund’s Limited Partners (LPs) include Poland’s state-backed Polish Development Fund, along with early executives from Skype, Wise, Bolt, and Snowflake. Notably, BAE's involvement includes a €25m investment in Expeditions and another €25m into Klaus Hommels' Lakestar, part of its Launchpad program.
BAE’s strategy is twofold: spinning their laboratory technologies into commercial startups while backing external founders bringing new ideas to defense. This is timed with Russia's war on Ukraine and the EU's ReArm Europe plan, transforming defense tech from a taboo to Europe's hottest category, attracting even space and dual-use startups.
Other players in this space include Lakestar, which is raising a roughly $300m defense vehicle. While Expeditions' latest funding round shines a spotlight on the present, the future of European defense technology looks even brighter. With the war in Ukraine serving as a catalyst, the continent is investing heavily in developing its own cutting-edge military technologies. This new wave of innovation promises not only to enhance European sovereignty but also to create a more robust and adaptable defense architecture. As the EU's ReArm Europe plan gains momentum, the focus on defense tech is expected to intensify, fostering collaboration between industry, academia, and governments. This shift could lead to groundbreaking advancements in areas like artificial intelligence, cyber security, and advanced materials, ensuring Europe stays ahead in the global defense technology landscape. For startups, this means unprecedented opportunities to contribute to a new era of European defense. Read more about the future of European defense tech