ROMANIA: Rheinmetall acquires Automecanica Mediaș

The technology conglomerate Rheinmetall from Düsseldorf is further expanding its position as a leading manufacturer of military vehicles and is becoming the main shareholder of the Romanian vehicle manufacturer Automecanica Mediaș.

With this acquisition, Rheinmetall is strengthening its footprint in Central Europe and opening up significant revenue growth and new, promising customer countries in the region. With locations in the eastern NATO area, Rheinmetall is currently present in Hungary and Lithuania. Additionally, Rheinmetall recently won a major contract in Romania in December 2023 in the field of air defense worth 328 million EUR. The company, in which the Düsseldorf conglomerate will hold 72.5% of the shares through Rheinmetall Landsysteme GmbH, will operate under the name Rheinmetall Automecanica SRL in Romania. The remaining shares of the company will remain with private owners. The completion of the corresponding contractual agreement is still subject to regulatory approvals.

Rheinmetall sees the new acquisition having an annual revenue potential of around 300 million EUR in the medium term and expects order intakes in the triple-digit million EUR range already in fiscal year 2024.
Armin Papperger, CEO of Rheinmetall: "The acquisition of Automecanica Mediaș into the Rheinmetall Group is a significant milestone for our strategic orientation in Central Europe and will help to further strengthen the defense capability of the EU and NATO on the eastern flank. We look forward to supporting Romanian customers in future programs - whether in the vehicle sector or with other technologies from our company. The integration of local partners and the strengthening of the local economy in Romania are central concerns for us. We want to meet the expectations that politics and the military have of us to the best of our ability."

Automecanica Mediaș is a traditional producer of special vehicles, truck bodies, and trailers for both civilian and military sectors. Rheinmetall's collaboration with Automecanica was established in 2022, when both partners agreed to operate a maintenance center for military vehicles in Satu Mare, Romania.

The location in Mediaș, Romania, will play a central role in maintaining the operational readiness of Western combat systems deployed in Ukraine and their logistical support. The Rheinmetall presence on-site thus guarantees shorter reaction times for the NATO forces on the eastern flank and increased security in the supply chain.
Through the acquisition of the company, Rheinmetall is expanding its global production network in vehicle construction, which already has locations in Canada, USA, Australia, Great Britain, Austria, the Netherlands, and Germany. This also significantly increases capacities in production and maintenance.

At the same time, with this step, Rheinmetall is expanding its product portfolio in military vehicle construction. Truck bodies, trailers, and other special vehicles developed and produced by Automecanica complement the range of logistic trucks for which Rheinmetall MAN Military Vehicles (RMMV) is successful in global markets.

Rheinmetall Automecanica will thus become part of the global production network of Rheinmetall. In addition to the maintenance of combat vehicles, this location will also be responsible for the maintenance of chassis for Romanian armed forces' flak guns.
Automecanica Mediaș has been a reliable partner of the Romanian armed forces. In the new constellation, Rheinmetall aims to become a leading producer and service provider for the Romanian armed forces and the military forces of neighboring countries and significantly expand the previous range of services.

Automecanica Mediaș is a Romanian company that produces truck bodies and trailers for both civilian and military sectors. The company also manufactures tankers for the transport of fuels, liquid foods, as well as general cargo. Street cleaning and construction vehicles are also part of Automecanica's portfolio.
The company was founded in 1941 under the name Atelierele de Stat pentru Aeronautică Mediaș and changed its business focus in 1962 to the production of vehicle bodies and lifting platforms.

RHEINMETALL on the internet