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21.01.2019 21:41

Rheinmetall and BAE Systems Joins Forces In UK

German Rheinmetall bought BAE Land Systems facility at Telford, England to form a joint venture with BAE Systems. The takeover shows that BAE will reduce its holding to 45%, marking another step in the German company’s expansion.

 

Rheinmetall and BAE Systems today announced that they have signed an agreement to create a joint UK-based military vehicle design, manufacturing and support business. The new Joint Venture will be headquartered at BAE Systems' facility in Telford, England and will sustain over 400 jobs in the UK, as well as preserve key technology and engineering skills.

 

Rheinmetall will purchase a 55 percent stake in the existing BAE Systems UK based combat vehicles business, with BAE Systems retaining 45 percent. The establishment of the new Joint Venture is subject to regulatory approvals which are anticipated to be completed in the first half of 2019. Once the approvals have been completed, the Joint Venture will be known as Rheinmetall BAE Systems Land (RBSL).

 

The RBLS wants to play a role in existing combat vehicle support business, but also intends to play a major role in the delivery of the British Army's new Mechanised Infantry Vehicle (MIV) and other strategic combat vehicles programmes.

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