NRW.BANK Makes Its First Investment in Defense Tech and Acquires a Stake in Skylance

NRW.BANK is making its first direct investment in a defense tech startup. The development bank is investing a total of 500,000 euros in the Hürth-based company Skylance, which is developing the “DroneHammer,” a cost-effective system for defending against small drones. In total, the startup—founded in 2025—has raised more than one million euros in this funding round. The technology is currently being tested and further developed in collaboration with the German Armed Forces.

The investment also marks a significant step forward for public venture capital financing in North Rhine-Westphalia. In light of the changing European security landscape, defense tech is increasingly evolving from a niche market into a relevant investment sector.

500,000 euros from NRW.BANK

NRW.BANK had initially financed Skylance through a convertible loan of 200,000 euros. This loan is now being converted into an equity investment. As part of the current funding round, the development bank is providing an additional 300,000 euros.

In addition to NRW.BANK, a consortium of entrepreneurs and investors from the Investment Advisory Club Düsseldorf (IACD e.V.) is also investing. In total, Skylance will receive more than one million euros through this round.

Startups can make an important contribution to the security and resilience of our state with new technologies.

Gabriela Pantring, CEO of NRW.BANK

Young companies need sufficient capital to turn technological developments into marketable solutions. For the development bank, this transaction is a first. Skylance is the first defense startup in which NRW.BANK has taken a stake.

Skylance is developing the “DroneHammer”

Skylance was founded in 2025 by Philipp Bohne, Dr. Tobias de Taillez, and Dr. Olaf Wollersheim and is headquartered in Hürth near Cologne. The focus is on the so-called DroneHammer. This is a laser-guided missile designed to combat smaller drones.

The missile weighs about 700 grams and, according to the company, reaches a speed of more than 600 kilometers per hour. For target acquisition and tracking, Skylance combines laser energy with software algorithms and image processing. Price is a key factor here. According to the company, a DroneHammer is expected to cost less than 3,000 euros.

When the defense is more expensive than the drone

In this way, Skylance addresses the economic challenges of modern drone defense. Countering inexpensive drones—some of which are available in large quantities—with significantly more expensive interception systems is difficult to justify economically in the long run. Skylance is therefore attempting to reduce the cost per interception. Especially with smaller drones, the unit price of a defense system could determine whether a technology can be deployed in larger quantities.

Demand for such solutions is growing. NRW.BANK cites figures from the Federal Criminal Police Office indicating that more than 1,000 suspicious drone flights were recorded in Germany in 2025. In addition to military applications, this is also bringing the protection of critical infrastructure into sharper focus.

Development in Collaboration with the German Armed Forces

The DroneHammer is currently still in the development and testing phase. Skylance is collaborating with the German Armed Forces on this project. The new capital is intended to accelerate technological development. At the same time, the company aims to prepare the next steps toward industrialization and mass production.

It is precisely this transition that is likely to be decisive for Skylance. A functioning prototype is only the first step in the defense technology sector. For large-scale deployment, systems must be manufactured reliably and reproducibly, tested, and integrated into existing defense structures.

Defense tech becomes an investment area for public investors

What is remarkable about this funding round, therefore, is not just Skylance’s technology. With NRW.BANK’s first-ever direct investment in a defense tech startup, the attitude of public investors toward the industry is also shifting. For many institutional and public investors, defense technologies have long been considered a difficult—or in some cases, off-limits—investment area. The changing security landscape in Europe and the growing demand for drones, sensors, reconnaissance, and defense systems are increasingly pushing back these boundaries.

This is significant for young defense-tech companies: the transition from prototype to industrial production, in particular, requires substantial capital, while procurement processes in the defense sector can be protracted.

For Skylance, the 500,000 euros from NRW.BANK is therefore more than just additional capital. This marks the first time a public development bank has invested in a defense startup, signaling that security-related technologies are increasingly becoming part of Germany’s startup and innovation support programs.