Italy’s defence giant Leonardo will acquire a 24.55% stake in Finnish cybersecurity firm SSH Communications Security, the companies announced Tuesday, marking a significant step in Europe’s efforts to deepen defence cooperation and consolidate its security industry.
With this deal, Leonardo becomes SSH’s largest shareholder, underscoring the growing importance of cybersecurity in multi-domain defence systems. Leonardo, known for its aerospace and defence platforms, views cyber capabilities as critical components of modern warfare, particularly as systems become increasingly interconnected.
SSH CEO Rami Raulas emphasized that the Western defence sector is shifting from national protectionism to international collaboration, noting Leonardo’s investment as part of a broader movement toward shared capabilities and joint ventures across borders. He also cited the BAE-Japan-Leonardo partnership for a next-generation combat jet as an example of this trend.
Raulas added that a growing European sentiment of “Europeans for Europe”—spurred in part by concerns over U.S. foreign policy under Donald Trump—is encouraging intra-European defence partnerships, reducing reliance on American investments.
Leonardo, which posted €18 billion ($21.2 billion) in revenue in 2024, expects its cybersecurity segment to achieve double-digit growth in the coming years. “Cybersecurity will increasingly be embedded into defence platforms and will become a core component of global security solutions,” said Giuseppe Panizzardi, Leonardo’s head of M&A, during a conference call.
The agreement involves €20 million worth of newly issued SSH shares purchased by Leonardo. Upon completion, Accendo Capital, previously SSH’s largest investor, will hold a 20.87% stake.
SSH is recognized for its quantum-safe encryption and Zero Trust architecture—an approach that assumes all users and devices could be threats unless verified. Leonardo said the deal supports the formation of a “Made in Europe” Zero Trust ecosystem, aligning with the EU’s ambitions for digital sovereignty and homegrown cybersecurity infrastructure.