Heidelberg Presses Forward with Bold Defense Venture Challenge

Historic printer Heidelberger Druck pivots to defense via ONBERG JV, aiming to undercut rivals like Rheinmetall in the billion-euro drone protection sector.

In a significant strategic pivot, the historic printing press manufacturer Heidelberger Druckmaschinen is transforming into a defense industry contender, directly targeting established market leaders. The company's newly formed joint venture, ONBERG, represents its ambitious entry into the multi-billion euro drone defense sector, where it plans to challenge incumbents like Rheinmetall with an aggressive pricing model.

Financial Ambitions and Market Reaction

The management team has set clear financial objectives for this new division. They aim to reach operational break-even on an EBIT basis within one year of the venture's launch. The company anticipates its first material revenue contributions from this business in the second half of the 2026 fiscal year. Despite management reaffirming its full-year revenue forecast of 2.35 billion euros, the strategic shift has yet to be reflected positively in the company's share price. The stock closed Friday's trading session at 1.40 euros, marking a decline of 30.84 percent since the beginning of the year.

CEO Jürgen Otto indicated that this joint venture is just the beginning, serving as a launchpad for further collaborations within the security sector. The full financial impact of the new defense division will be revealed when the complete annual report for 2025/26 is published on June 10, 2026. This report will provide the first consolidated figures for the company's new business fields.

A Strategic Pivot Centered in Brandenburg

The company is executing this transformation in partnership with the American-Israeli specialist Ondas. Heidelberger Druckmaschinen holds a 49 percent stake in the joint venture. The operational hub for this new direction is the company's site in Brandenburg an der Havel. Approximately 380 employees are currently repurposing the existing infrastructure there to establish a center of excellence for autonomous security technology. Initial production will focus on supplying systems to Ukraine and Germany, with the "Iron Drone Raider" system as the flagship product.

Competing on Cost in a High-Stakes Market

The cornerstone of the manufacturer's strategy is a substantial cost advantage. While competitors such as Rheinmetall market their defense systems for up to 42 million euros, Heidelberger Druck aims to offer its solution for a significantly lower price in the tens of millions. The company is entering a market with immense potential. In Germany alone, an estimated 2,000 critical infrastructure sites require protection from drone attacks. Industry estimates suggest investments in this sector could reach up to 80 billion euros, a need underscored by the Federal Criminal Police Office's registration of over 1,000 suspicious drone flights last year.