Rheinmetall to Take up A Majority Interest in Chempro, Supplier of High-Tech Force Protection Systems
14 February 2007
In taking up a majority interest of 51% in Chempro of Bonn, and gradually increasing its stake in ADS Gesellschaft für aktive Schutzsysteme of Lohmar, the Düsseldorf-based Rheinmetall Group continues to develop its position as a supplier of systems for ground forces. For the companies involved, this cooperation holds the prospect of continued success in a forward-looking sector.
Founded by the Deisenroth family, Chempro and ADS both belong to a top technology group specialising in highly sophisticated protection systems for military vehicles.
As a maker of high-performance protection systems, Chempro plays a major role in a number of important military procurement programmes both at home and abroad. For example, the high level of protection displayed by the Bundeswehr's new Puma infantry fighting vehicle partly results from products made by Chempro.
Effective force protection systems figure prominently in current military procurement programmes as the armed forces look for new ways of protecting the growing number of troops deployed in harm's way. Continued growth in the global market for such products is expected.
ADS is currently developing a new generation of active protection systems. In coming years, Rheinmetall intends to gradually increase its stake in ADS in order to obtain a majority interest in the company.
AMAP-ADS is a new high-tech product that detects and analyses threats in the immediate vicinity of the vehicle, actively engaging them with appropriate countermeasures. Currently undergoing testing by customers in a number of nations, the product is scheduled to go into serial production by 2008 at the latest.
The two acquisitions still require approval from the merger control authorities.
