Porsche SE, Volkswagen’s largest shareholder, said it plans to expand its presence in the defense sector while maintaining its main focus on cars and industrial technology. The move reflects a wider trend among German automakers and suppliers, including Volkswagen, Daimler Truck, and Schaeffler, which are looking to defense as Europe increases military spending.

The holding company of the Porsche and Piech families, which owns 32% of Volkswagen and 12.5% of Porsche AG, said it would create an investment platform with partners to target emerging defense firms. As part of the initiative, it plans to host a “Defense Day” to connect German and European family offices with investment opportunities. Separately, Porsche SE is also evaluating opportunities in satellite surveillance, reconnaissance and sensor systems, cybersecurity, and logistics.

The announcement followed a cut to Porsche SE’s full-year earnings forecast, driven by weaker results at Volkswagen. Porsche first signaled interest in defense investments in March.