This initiative introduces sweeping reforms to make defense investments faster, more predictable, and accessible to private capital. Key highlights include fast-track permitting with automatic approvals, harmonized rules for intra-EU transfers, and simplified procurement procedures.

The package also clarifies ESG and sustainable finance requirements, ensuring that defense sector investments align with EU sustainability standards while providing tailored guidance for investors.

For private capital and global investors, the Defence Readiness Omnibus opens new pathways into defense and dual-use technologies, such as AI, quantum, space, and cybersecurity. It also brings clarity to participation rules for EU-based entities under non-EU control and introduces robust safeguards to protect security of supply and strategic interests.

With expanded access to the European Defence Fund, streamlined eligibility for InvestEU, and broader exemptions from environmental and chemicals regulations, the omnibus marks a decisive shift in the EU’s approach to defense readiness.

The attached alert provides a detailed breakdown of the legislative package, outlining the most relevant changes, strategic opportunities, and compliance considerations for the business community. These reforms are designed to make the EU’s regulatory environment a catalyst for innovation and investment, not a constraint.

For funds and portfolio companies operating in the defense sector, or adjacent to strategic technologies, this represents a significant opportunity to align capital with long-term EU priorities, benefiting from a more predictable and supportive policy environment.

If you would like to explore how the Defence Readiness Omnibus may impact your organization’s operations, investment strategy, or compliance obligations, please don’t hesitate to reach out to any member of our EU Defence group listed here.