Rheinmetall and Lithuania to establish joint venture for ammunition production
Illustrative photo: Rheinmetall will build a plant in Lithuania (Getty Images)
The German arms concern Rheinmetall and two Lithuanian state-owned companies have signed an agreement to establish a joint venture. They will produce 155-millimeter artillery ammunition, LRT reports.
According to Rheinmetall, the company has signed a contract with energy group Epso-G, Epso-G Invest, and the arms factory in Giraitė. Together, they will build a factory for producing 155mm artillery shells in Baisogala, with a preliminary cost of €260 million.
Rheinmetall will hold 51%, Epso-G Invest will have 48%, and the Giraitė arms factory will hold 1% of Rheinmetall Defence Lithuania.
"By signing the agreement, all parties have committed to contributing their expected shares to the project's implementation," said Epso-G representative Gediminas Petrauskas.
Rheinmetall in Ukraine
At the end of October, Rheinmetall CEO Armin Papperger said that his company had opened its first plant in Ukraine. A total of four such plants will be built.
He specified that one of these plants would produce ammunition.
