On 13 August 2024, the Düsseldorf-based Rheinmetall Group signed an agreement to acquire all equity interests in Loc Performance Products, LLC, a vehicle specialist based in Plymouth, Michigan.
This acquisition will expand Rheinmetall’s business with the US military, increase its industrial base in the USA, and provide further access to North American markets. Additionally, Rheinmetall aims to strengthen its production capacities in the USA, targeting high-volume orders for U.S. Army vehicle programmes with a potential value exceeding USD 60 billion.
Rheinmetall is one of two remaining participants in the prototype phase of the XM30 programme, which aims to introduce a new generation of infantry fighting vehicles. This programme is estimated to be worth around USD 45 billion for approximately 4,000 vehicles. Rheinmetall is also involved in the CTT (Common Tactical Truck) programme, valued at around USD 16 billion for approximately 40,000 trucks.
The acquisition of Loc Performance is expected to benefit both Rheinmetall’s American and global operations. The integration of Loc Performance’s experienced workforce, known for their expertise in the maintenance, repair, and enhancement of military combat vehicles, will strengthen Rheinmetall’s internal supply chains.
The agreed purchase price for Loc Performance, based on an enterprise value of USD 950 million, will be due upon closing, subject to regulatory approvals.
Armin Papperger, CEO of Rheinmetall AG: "We are making this investment because we have a clear strategy for growth and the United States will be an important core market for us in the coming years. The acquisition of Loc Performance proves that we are consistently focussing on success in the USA and want to expand our share of the large market volume. Everything speaks in favour of this acquisition: Loc Performance is already pursuing a sustainable business model there with robust organic growth, has a highly qualified workforce and offers us significant capacity reserves for the orders we are targeting in the USA."
Matthew Warnick, CEO of American Rheinmetall Vehicles: "In the USA, we have a promising position in two major military projects, both in the XM30 infantry fighting vehicle program and in the CTT project. The acquisition of Loc Performance gives us the manufacturing readiness that will enable us to realise the major orders we are aiming for. This puts us in a position to realise 100% local value creation in the USA."
Jason Atkinson, CEO of Loc Performance: "The significant engineering capabilities of American Rheinmetall Vehicles and the next-generation technologies that are part of the exceptional global Rheinmetall Group are a great fit with Loc Performance's 53 years of manufacturing experience in the United States. I am excited about this combination, which represents a powerful end-to-end solution that will bring even better products to our customers and even more growth to our combined company."
The company will contribute directly to Rheinmetall’s fast-growing US military vehicle business, managed by American Rheinmetall Vehicles based in Sterling Heights, Michigan.
Lockheed Martin has been awarded a $270 million contract by the U.S. Air Force to integrate next-generation infrared defensive sensors…
Malaysia Airlines, in collaboration with Mercedes-Benz Malaysia (MBM), has launched a Private Terminal Transfer Service aimed at providing seamless and…
Fly Jaya, a new entrant in Indonesia’s aviation industry operated by PT Surya Mataram Nusantara, is set to launch domestic…
The first Austrian Airlines Boeing 777-200ER equipped with AeroSHARK surface technology has successfully completed its maiden flight. The long-haul aircraft…
Vietnam and South Korea are reportedly finalising an agreement for the acquisition of 20 K-9 Thunder self-propelled howitzers (SPH) for…
The Royal Thai Air Force (RTAF) is anticipating the final delivery of three AT-6TH Wolverine light attack aircraft by April…
Ukraine's largest airline, SkyUp Airlines, has successfully transitioned to IBS Software's iFly Res Passenger Services System (PSS) to support the…
Experia Events has announced the confirmed exhibitors for the inaugural Business Aviation Asia Forum and Expo (BAAFEx), which will take…
Aonic, a Malaysian drone service provider and manufacturer, has been awarded the Unmanned Aerial Work Certificate (UAWC) by the Civil…
Eve Air Mobility (Eve) has partnered with JetSetGo, a private aircraft charter and fractional ownership company based in New Delhi,…
L3Harris Technologies has received a contract from BAE Systems Maritime Australia for the Integrated Platform Management System (IPMS) on the…
In a response to numerous instances of Global Positioning System (GPS) denial in the war that broke out on Oct.…
Airbus Defence and Space, in collaboration with HENSOLDT, is upgrading the German Airborne Weapon Systems Electronic Warfare Centre with the…
Qantas Airways Limited has officially become a member of the Association of Asia Pacific Airlines (AAPA), as announced by the…
Indra Group’s Board of Directors has appointed Ángel Escribano Ruiz as its new Executive Chairman. This decision was made during…
The first Airbus A400M aircraft for the Indonesian Air Force (TNI-AU) has entered the Final Assembly Line in Seville, Spain.…
Italian airline ITA Airways is now a member of the Lufthansa Group and will be the Group's fifth network airline.…
Revenue Passenger Kilometres (RPKs) are predicted to increase by 25.6% between 2025 and 2030,according to data recently revealed by IBA,…
Indonesian state-owned airport operator PT Angkasa Pura Indonesia, operating under the brand InJourney Airports, reported a notable rise in passenger…
The Department of National Defense (DND) of the Philippines has confirmed plans to acquire 12 additional FA-50 Block 20 Fighting…
Airbus Helicopters has delivered two H225M helicopters to the French Armament General Directorate (DGA), marking the first of eight helicopters…
Curtiss-Wright has unveiled the PacStar 452 server, designed to enhance data storage capabilities in tactical edge applications. This new server…
CAE has inaugurated its first Air Traffic Services (ATS) Training Centre, on its campus in Montreal, Canada. As the largest…
Muirhead, a Scotland-based supplier of aviation leather, has announced its expansion into the global seat cover sector, aiming to simplify…
Lockheed Martin has delivered 10 S-70i Black Hawk helicopters to the Philippine Department of National Defense (DND) in 2024. This…
Scoot, the budget carrier of Singapore Airlines, has unveiled the launch of direct flight services to Vienna in Austria and…
The Israeli Ministry of Defense (IMOD) has signed its first contract under the $8.7 billion U.S. aid package approved by…
Taiwan’s Civil Aviation Administration (CAA) has granted certification to ExecuJet MRO Services Malaysia, a subsidiary of Dassault Aviation, allowing it…
From 9 to 11 January 2025, Vietjet's senior leadership visited the United States to meet with strategic partners during the…
SITA has announced a partnership with Palo Alto Networks to strengthen cybersecurity measures for critical airport operations. The collaboration introduces…
Headquartered in Singapore with reporters spread across all major regions, GBP Aerospace & Defence is a leading media house that publishes three publications that serve the aerospace and defence sector - Asian Defence Technology, Asian Airlines & Aerospace and Daily News. Known industry-wide for quality journalism, GBP Aerospace & Defence is present at more international tradeshows and exhibitions than any other competing publication in the region.
For over three decades, our award-winning team of reporters has been producing top-notch content to help readers stay abreast of the latest developements in the field of commercial aviation, MRO, defence, and Space.
Copyright 2024. GBP. All Rights Reserved.
Home Defence & Security Space Commercial Aviation Maintence Repair & Overhaul Daily News Events About Us
2025 GBP all rights reserved.