Leonardo, the Italian state-backed defense giant, has reinforced its presence in Ukraine by establishing a new wholly-owned subsidiary, Leonardo Ukraine, headquartered in Kyiv. This move, which saw the company listed in the business register on May 20, is designed to tap into Ukraine's burgeoning military technology sector, particularly in drones. CEO Lorenzo Mariani has expressed interest in leveraging Ukraine's wartime experience and fostering cooperation, potentially through joint ventures, similar to Leonardo's collaboration with Baykar.
Leonardo Ukraine is not merely a commercial outpost; its primary focus will be on scientific and engineering research and development. The subsidiary's activities will span critical areas such as communication and navigation systems, software, IT services, and advanced electronic and optical technologies. This strategic positioning aims to integrate Leonardo more deeply into Ukraine's defense technology ecosystem, which includes the Brave1 hub with approximately 2,500 companies, over 500 drone manufacturers, and more than 300 firms specializing in electronic warfare.
Furthermore, Leonardo plans to test its integrated, multi-domain air defense system, the Michelangelo Dome, in Ukraine by the end of 2026. This system, which utilizes sensors and AI to track and neutralize aerial threats, is projected to have commercial opportunities worth around €21 billion over the next decade. The establishment of Leonardo Ukraine, with a registered capital of about $125,000 (UAH 5.1 million), marks a shift from the company's previous stance against opening operations in Ukraine and positions it to explore acquisitions and alliances within the country's rapidly expanding defense industry.
