France: EIB backs Thales with €450M loan

• This EIB financing will support Thales’ aeronautics and radar investments.
• The large-scale research and development project will have a significant impact on the European security and defence industry.
• It is the EIB’s first corporate loan to France’s security and defence sector.
• The project also aligns with the EIB’s TechEU programme, which aims to foster innovation and the development of new technologies.

The European Investment Bank (EIB) has granted a €450 million loan to Thales to finance its research and development investment programme in aeronautics and radar technologies. This programme, is set to run until the end of 2027 and. aims to enhance the safety and efficiency of both civil and military flights, while those in radar will make it possible to modernise current equipment and develop a new generation of civil and military software and radar systems.

As well as being Thales’ first EIB loan, it is also one of the biggest corporate loans the EIB has ever granted in the security and defence sector. The loan is part of TechEU, the EIB’s innovation programme launched in June with €70 billion in funding available until 2027.

EIB Vice-President Ambroise Fayolle said: “In the security and defence sector, innovation is key. The EIB is therefore pleased to help Thales, global leader in technologies for defence, aerospace and cyber security, to remain at the forefront of technological development. This initial operation with Thales also shows the EIB Group’s strong commitment to financing the security and defence sector, which is central to European sovereignty.”

Thales Senior Executive Vice President, Finance and Information Systems Pascal Bouchiat said: “We are very pleased with this support from the European Investment Bank, which reinforces the Group’s technological leadership and its contribution to European sovereignty. With 3,000 researchers and 30,000 engineers involved in Research and Development, and €4.2 billion invested each year in R&D, Thales is recognized as one of the most innovative companies in the world.”

EIB Group support for European security and defence

Since 2024, the EIB Group has significantly stepped up its support for the development of European security and defence capabilities. Its activities in this area are a cross-cutting and permanent public policy objective of the Group, as well as being part of its eight strategic priorities for the period 2024-2027.

The EIB Group has revised its lending policy to broaden the eligibility criteria and the range of security and defence projects it can finance. It has also set up a Security and Defence Office to ensure a rapid and effective response to project proposals.The EIB Group’s objective is to allocate 3.5% of its total financing planned for 2025 (approximately €3.5 billion) to security and defence-related projects.

As a result of its ongoing and productive dialogue with industry and financial intermediaries, defence ministries and key institutions such as the European Commission, the European Defence Agency and NATO, the EIB Group has a solid portfolio of 80 projects under review that contribute to the European Union’s security and defence capabilities.

You can find out more about the EIB’s support for the European security and defence sector here.

This article was first published on 17 September by EIB.