Ben Hudson, global head of Rheinmetall’s Vehicle Systems Division, said: “We are excited about the potential the new Joint Venture holds for Rheinmetall, BAE Systems and ultimately our customers. We are proud to invest in the UK and expect to substantially grow the current business and the Telford manufacturing facility over the coming years.”
Rheinmetall will purchase a 55% stake in the existing BAE Systems UK based combat vehicles business, with BAE Systems retaining 45%.Once approvals have been completed in the first half of 2019, the Joint Venture will be known as Rheinmetall BAE Systems Land (RBSL).
In addition to managing and growing the existing combat vehicle support business, the intent is for RBSL to play a major role in the delivery of the British Army’s new Mechanised Infantry Vehicle (MIV) and other strategic combat vehicle programmes.
Jennifer Osbaldestin, managing director of BAE Systems Land UK business, said: “We are committed to evolving our combat vehicles business so that we better serve our customers’ future interests.Joining forces with Rheinmetall in the UK provides renewed purpose for our vehicles business and allows us to deliver products, services and technology that help land forces excel in their vital roles.”
The combination of Rheinmetall’s military vehicles technology and products with the additional capabilities and products brought by BAE Systems, such as Trojan, Terrier, Warrior, military bridging and the AS90 self-propelled artillery system will create a European market leader in the military vehicle sector.
RBSL will have the potential to create hundreds of additional UK jobs, both in Telford and the wider supply chain.
While initially focused on these major UK programmes, RBSL will also form an integral part of Rheinmetall’s Vehicle Systems Division and will participate in and contribute to various global military vehicle pursuits and contracts.