HEVI Optronics Plans New Defense Factory Near Tallinn
Estonia’s HEVI Optronics will build a new factory near Tallinn to expand production, testing and development of electro-optical defense systems.
Estonian defense technology company HEVI Optronics plans to build a new production facility in Tabasalu, west of Tallinn, to expand manufacturing of electro-optical intelligence, surveillance and reconnaissance systems. The factory will consolidate development and production while adding capacity for precision mechanics, testing and serial production as European demand for defense sensors increases.
The expansion follows rapid growth at the company. HEVI Optronics recorded €27.15 million in revenue in 2025, up from €9.94 million in 2024, while its workforce has since grown to more than 30 people.
Tabasalu factory will consolidate production and engineering
HEVI Optronics currently operates development and manufacturing activities across multiple buildings. The Tabasalu facility will bring those capabilities under one roof and provide additional capacity for electronics and system assembly, precision mechanical manufacturing, product development and testing.
The company expects the expansion to create jobs across mechanical, electronics and software engineering, quality control, computer numerical control machining, assembly and testing. HEVI Optronics has not disclosed the investment value, planned floor area, production capacity or a completion date for the factory.
Kontsept Arhitektuuribüroo designed the facility, while Mapri Ehitus will serve as the main construction contractor.
The investment addresses a constraint created by the company’s growth. HEVI Optronics generated €27.15 million in revenue and €7.56 million in profit in 2025, compared with €9.94 million in revenue and €1.38 million in profit in 2024, according to Estonia's business register data.
HEVI Optronics expands electro-optical manufacturing capacity
Founded in 2021 by five engineers, HEVI Optronics develops and produces electro-optical intelligence, surveillance and reconnaissance systems. Its portfolio covers land, maritime, airborne and fixed surveillance applications, including stabilized sensor platforms and systems relevant to counter-drone operations.
The company says its systems use modular architectures that can integrate different sensors, while its product development includes stabilization and onboard image-processing capabilities. Its customers and partners are primarily system integrators that incorporate HEVI Optronics equipment into larger defense and security platforms.
Exports account for most of the company's business, with Europe identified as the main focus for future growth. That makes the Tabasalu project part of a broader effort to increase European production capacity for components that sit inside unmanned systems, surveillance platforms and other military equipment.
Quantum-Systems ownership adds a wider European industrial link
The factory expansion also comes after a significant change in HEVI Optronics' ownership structure. Estonia's Competition Authority approved German unmanned aircraft manufacturer Quantum-Systems GmbH's acquisition of a 60% stake in HEVI Optronics on March 31, 2026.
The transaction gives Quantum-Systems controlling influence over the Estonian company. The Competition Authority described Quantum-Systems as a developer and manufacturer of unmanned aircraft systems used to collect aerial reconnaissance information for professional customers, including military and civilian users.
The combination creates a direct industrial link between an unmanned aircraft manufacturer and an Estonian producer of electro-optical ISR technology. HEVI Optronics' new factory could therefore support not only its independent customer base but also a European supply chain increasingly centered on unmanned platforms, sensors and locally produced subsystems.
The companies have not publicly tied specific production volumes at the Tabasalu facility to Quantum-Systems programs, so the extent of future manufacturing integration remains unclear.
Estonia builds capacity beyond complete weapons platforms
HEVI Optronics' expansion illustrates another component of Estonia's growing defense-industrial base: production of subsystems that can feed multiple platforms and manufacturers rather than a single national procurement program.
Electro-optical sensors, stabilized payloads and image-processing equipment have applications across unmanned aircraft, ground vehicles, naval systems, border surveillance and counter-UAS networks. HEVI Optronics specifically identifies air, land, sea and surveillance markets among the applications for its technology.
Bringing precision mechanics, electronics integration, testing and engineering into a larger consolidated facility could give the company greater control over production as volumes increase. The move also aligns with European efforts to strengthen domestic defense supply chains, although HEVI Optronics has not disclosed the new plant's planned annual output.
Questions about the HEVI Optronics factory
Where will HEVI Optronics build its new factory?
HEVI Optronics plans to build the facility in Tabasalu, west of Tallinn, Estonia. The site will consolidate production and development activities that currently operate across multiple buildings.
What will HEVI Optronics produce at the new factory?
The company develops electro-optical ISR and surveillance systems for land, sea, air and fixed-site applications. The new plant will support electronics and system assembly, precision mechanics, development, testing and serial production.
Who owns HEVI Optronics?
Quantum-Systems GmbH agreed to acquire a 60% stake in HEVI Optronics, with Estonia's Competition Authority approving the transaction on March 31, 2026. The transaction gives the German unmanned aircraft manufacturer controlling influence over the Estonian company.
How fast is HEVI Optronics growing?
HEVI Optronics reported €27.15 million in 2025 revenue, compared with €9.94 million in 2024. Its 2025 profit reached €7.56 million, according to Estonian business register data.
