Jan 30 - Electro Optic Systems (EOS) is highly likely to move its corporate headquarters and exchange listing from Australia to Europe within the next year, the company's chief executive said, in a strategic shift driven by rapid growth in European defence spending and a push for sovereign capabilities.
EOS made headlines in August 2025 when the Netherlands became the first country to buy a 100-kilowatt-class laser weapon from the firm, paying 71 million euros for the system. That sale, the company says, underlines what CEO Andreas Schwer described as clear immediate market demand in Europe for technologically mature drone-defence solutions.
Schwer told Reuters that a final decision on the relocation is expected in the first half of 2026. If completed, the change would mark one of the first permanent moves by a major defence contractor to Europe specifically to retain access to the region's growing procurement budgets as governments prioritise domestic military capabilities amid concerns about changing patterns of international support.
Germany is currently the frontrunner as the destination for EOS's new base and listing, though Amsterdam remains a contender given the Netherlands' status as EOS's first buyer of its 100 kW system. The CEO declined to name a third candidate under consideration. He said the destination decision will partly hinge on whether a prospective host government is prepared to enter into a long-term framework agreement with EOS.
Schwer added that moving the headquarters requires no regulatory approval and "should happen by the end of this year." He said a relisting could happen then, or in early to mid-2027. In parallel, production and engineering facilities are already being established in Germany, and EOS is engaged in talks with 10 European governments about possible future orders.
EOS argues a laser-based approach to drone defence changes the economics of engagement. Destroying a small drone with a missile can cost tens of thousands of euros per shot, the company says, whereas a high-energy laser shot can cost as little as one to 10 euros. Schwer described the weapon's effect on a targeted drone, saying there is "no noise, no gunshot, no light. It simply causes the drone to fall from the heavens from a huge energy impact that makes it melt down."
The technology is not without limits. High-energy lasers are not yet fully proven in all battlefield conditions. Adverse weather such as rain, fog and dust can sharply reduce beam effectiveness, while significant cooling and electrical energy requirements complicate deployment and make frontline use less predictable.
Control of intellectual property is a growing theme in Europe's defence build-up. Anticipated export curbs on U.S. laser systems above 50 kW make European-developed options more urgent for governments seeking autonomy. Schwer said EOS has not found any client who is indifferent to where systems are produced or where IP resides, adding "Those times are gone."
EOS retains ownership of all its IP, which the company has domiciled in Singapore. Schwer noted that Singapore's export rules facilitate the transfer or duplication of that IP to clients, enabling EOS to move technology to customers when required.
The company's product roadmap includes development of a 300 kW laser system that, EOS says, would extend the capability to defeat not only drones but also missiles and rockets. Meanwhile, other European defence firms have demonstrated lower-power systems. Germany's Rheinmetall and missile-maker MBDA have shown a 20 kW naval laser in sea trials, and France's Cilas has tested a 2 kW system against small drones. A 100 kW fibre laser system developed by Israel's Iron Beam became the first to be fully deployed in December, underscoring that major non-European players have fielded higher-power demonstrators.
Rheinmetall had previously planned to begin series production of its laser weapon systems in 2029, but a company spokesperson said the firm is now targeting an earlier start given the current environment.
Context and implications
The proposed move by EOS speaks to two dynamics shaping European defence procurement: expanding budgets and a renewed focus on sovereign supply chains and IP control. Relocating a headquarters and listing could allow EOS to align more directly with European procurement processes and regulatory preferences while easing concerns among governments that seek domestic or regionally anchored suppliers.
At the same time, technical constraints on laser systems mean that operational performance will remain context dependent, subject to environmental and logistical constraints that could affect procurement choices and deployment concepts.
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