An Estonian tech start up manufacturing low-cost air defence
missiles is expected to open a new UK headquarters, delivering on
the Prime Minister's Plan for Change.
Defence company Frankenburg Technologies is planning to open a
new office in London initially employing upwards of 50 people, in
a boost for the UK defence sector.
Specialising in the manufacture of low-cost air defence missiles,
the rapidly growing company already collaborates closely with the
UK defence industry, sourcing a significant portion of its
subsystems locally, including from propulsion specialists Roxel
in Worcestershire.
The Prime Minister will meet the founder of the business, Taavi
Madiberk, as part of a business breakfast in Tallinn tomorrow
morning [Tuesday 17].
Delivering on his Plan for Change to boost jobs across the UK and
put money back in the pockets of hardworking people, the Prime
Minister will meet business leaders from major Estonian players
and market disruptors, including Bolt, Nortal, Starship
Technologies, Cachet, Skeleton Tech, Frankenburg Technologies,
Salv, LHV Group, Pipedrive and Veriff.
Frankenburg Technologies, which already has a footprint in
Estonia, Latvia, Lithuania and Ukraine, will invest €50 million
into the UK for research and development into low-cost rocket
motors.
It comes after the Business Secretary last week held a roundtable
as part of this Government's ‘pro-growth, pro-business' approach
to realise the economic potential of the defence sector and
change perceptions of it among investors – which is essential to
kickstarting economic growth and provide greater investment
across the UK.
Prime Minister said:
“Frankenburg Technologies' vote of confidence in the UK is
another signal that our plan is working, which is why I am
focused on how we can continue to make the UK a magnet for
foreign investment, greater growth and innovation.
“Estonia is an incubator of innovation, while the UK is a
launchpad for global growth, and I believe closer collaboration
between our countries will deliver for hardworking British people
for years to come.
“Supporting more than 400,000 jobs up and down the country, the
UK defence industry is vital to my Plan for Change, both
underpinning our foundation of security and driving
growth.”
The tech start up is another example of how the rapid development
and procurement of low-cost military equipment is supporting
Ukraine's fight against Russia's barbaric invasion and
transforming the European defence industry. The company's mission
is to develop missile systems that are ten times more affordable
and a hundred times faster to produce.
The UK defence industry is a major driver of growth in the UK,
supporting 1 in 60 jobs through 434,000 good, well-paid roles
across the country.
Estonia is renowned as a tech start-up hub, with the largest
number of unicorns and highest level of venture capital
investment per a head in Europe.
Many of the companies the Prime Minister will meet tomorrow, such
as Wise, LHV, Pipedrive, Nortal, Bolt and Starship Technologies
have shown how expanding to the UK is an important step in these
companies' path to global growth.
Following breakfast with Estonian business leaders, the Prime
Minister will attend the Joint Expeditionary Force summit,
joining leaders from the Nordics and Baltics to discuss support
for Ukraine, the sustained threat posed by Russia and wider
European security.
He is then expected to visit British forces serving in the region
to deter malign Russian threats.
