Published by Global Banking and Finance Review
Posted on January 3, 2025
BERLIN (Reuters) - Rheinmetall will take a 51% stake in Rheinmetall Defence Lietuva, which will build a new ammunition factory in Lithuania, as part of a partnership agreement, the German defence company said in response to a Reuters query on Friday.
As part of the agreement, the remaining 49% will be held by two Lithuanian companies, with the energy group EPSO-G taking the lion's share, according to Rheinmetall.
The plant is to be built near the Lithuanian city of Baisogala and is expected to go into operation in the second half of 2026. It should then be able to produce tens of thousands of 155-millimeter artillery shells every year.
More than 180 million euros ($185.31 million) will be invested in the construction in Lithuania, it added.
($1 = 0.9713 euros)
(Reporting by Matthias Inverardi, Writing by Miranda Murray, Editing by Friederike Heine)
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