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Denmark will guarantee a 750 million Danish kroner ($113 million) loan to the Danish subsidiary of Ukrainian defense company Fire Point, the Danish government announced on Oct. 21.
The guarantee highlights Denmark’s role in helping Ukraine expand defense production beyond its borders as Russian attacks threaten domestic manufacturing and supply chains.
The loan is backed by the Danish state as Russia’s war against Ukraine prevents the company from borrowing on ordinary terms in Denmark. The funding will be channeled through Denmark’s Export and Investment Fund (EIFO).
"Denmark strongly supports the Ukrainians’ fight for freedom," Business and Industry Minister Martin Lidegaard said. He added that hosting a Ukrainian defense company in Denmark would bring "knowledge and production, as well as partnerships" that could strengthen Ukraine, Denmark’s defense industry and a more independent Europe.
Defense Minister Jeppe Bruus said locating Ukrainian defense production outside Ukraine would make it more resilient to Russian attacks.
"When Denmark supports the Ukrainian defense industry, the combat power of Ukraine’s defense increases," Bruus said. He added that production outside Ukraine would provide safer supply chains for critical defense equipment and technologies while creating opportunities for cooperation between Fire Point, Denmark’s Defense Ministry, and Danish companies.
Denmark announced in September 2025 that Fire Point would establish production of fuel for long-range missiles on Danish soil. The facility is expected to become operational by the end of 2027.
Fire Point is also expanding its European defense partnerships. In August 2026, the company signed agreements with more than a dozen European defense companies to integrate radar, guidance and other technologies into its Freyja missile defense project. The project aims to provide Ukraine with a domestic alternative to the U.S.-made Patriot air defense system.
EIFO CEO Peder Lundqvist said the fund is currently involved in almost 40 projects supporting Ukraine and cooperation between Ukrainian and Danish companies.
"The financing of Fire Point is a concrete example of how these efforts can be put into practice," Lundqvist stated.