Posted By Global Banking and Finance Review
Posted on February 19, 2025
By Jakob Van Calster and Mateusz Rabiega
(Reuters) - Dutch insurer ASR Nederland could invest up to 100 million euros ($104.24 million) per investment case in the country's defence industry, its CEO said on Wednesday, responding to government efforts to bolster European defence.
The government has called for private capital to help build a stronger European arms industry, as the Ukraine-Russia war has underlined the threat to European security. At the same time, the U.S. administration, under the presidency of Donald Trump, has threatened to withdraw its support for European defence.
The Netherlands' second-largest insurer said in December it would consider investing in Dutch defence companies, ending a long-held policy of avoiding the sector as part of its efforts towards socially responsible investment.
"It depends on the opportunity and need. In some cases, it could be 50 million. In other cases, it could be 100 million," ASR CEO Jos Baeten told Reuters when talking about investing in defence companies.
He said he was in close contact with the Dutch Ministry of Defence and mentioned the first investment in the area was a done deal, adding the company had asked not to be named.
"It would be naive to think we don't need to invest further in our own defence," Baeten said, adding Europe needed to stand together given "the way the new presidency of the U.S. is treating Europe".
"France can't do it on their own. Germany can't do it on their own. The Netherlands can't do it on their own," he said.
($1 = 0.9593 euros)
(Reporting by Jakob Van Calster and Mateusz Rabiega; editing by Barbara Lewis)