Rheinmetall and rival Leonardo be part of forces for £17bn Italian tank deal
£17bn deal: Rheinmetall has announced a tie-up with rival Leonardo to build tanks for the Italian army
German defence group Rheinmetall has announced a tie-up with rival Leonardo after securing its biggest-ever order from the Italian government.
The industry giants have set up a joint venture to build tanks for the Italian army in a deal reportedly worth £17billion over more than a decade.
Rheinmetall and Leonardo said the 50:50 enterprise, which must be signed off by EU regulators, will be headquartered in Italy.Rheinmetall boss Armin Papperger said: ‘Together we want to set new standards and open the door to a new generation of combat vehicles in and for Europe.’
Leonardo chief executive Roberto Cingolani said the two firms have ‘technology and industrial synergies’.
Final assembly lines and around 60 per cent of the work will be done in Italy.
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