SWEBAL and Scandinavian X join forces to strengthen Sweden’s defense industry

Stockholm, November 12 — Front Ventures AB (publ), through its portfolio company Scandinavian X, has entered into a partnership with the Swedish explosives manufacturer SWEBAL Sweden Ballistics to supply domestically produced TNT for Scandinavian X’s drone production.

The agreement marks a strategic step toward building a more resilient and independent European defense supply chain. Scandinavian X — a company developing drones based on Ukrainian technology but produced in Sweden — is aiming to integrate fully NATO-standardized components in its upcoming systems.

SWEBAL, established with the goal of reviving Sweden’s production of critical energetic materials for both military and civil applications, is currently building a factory in Nora, scheduled for completion in 2028. Once operational, it will be one of only a few European production sites of its kind.

Deliveries to Scandinavian X are expected to begin the same year, serving both NATO markets and Ukraine.

“This partnership is a crucial step in strengthening Sweden’s and Europe’s production and supply capabilities within the defense sector. Domestic production means greater independence, shorter supply chains, and reliable availability for our future NATO and Ukrainian customers,” said Jonas Malmgren of Scandinavian X.

Joakim Sjöblom, CEO of SWEBAL, added: “We are proud to contribute to the revival of Swedish production of strategic materials. Our mission is to deliver top-quality output using modern technology, ensuring European defense systems have secure and sustainable access to what they need.”

At a time when demand for advanced defense systems and reliable supply chains continues to rise, the SWEBAL–Scandinavian X partnership underscores the importance of regional innovation and industrial self-sufficiency in Europe’s evolving defense landscape.