“Leonardo and Rheinmetall Forge a Game-Changing Alliance for Next-Gen Land Defense Solutions”

Leonardo and Rheinmetall have today formalized a Memorandum of Understanding (MoU) to create a novel 50:50 joint venture focused on advancing a European industrial and technological strategy in the domain of land defense systems.

The aim of this agreement is the industrial advancement and subsequent commercialization of the innovative Main Battle Tank (MBT) and the modern Lynx Platform for the Armoured Infantry Combat System (AICS), fitting within the Italian Army’s ground systems initiatives.

Armin Papperger, CEO of Rheinmetall AG: “Together with Leonardo, two prominent European providers of defense technology are collaborating to achieve ambitious endeavors. Our goal is to establish new benchmarks and pave the way for a new generation of high-tech combat vehicles for Europe. By doing so, we cater to the Italian market alongside other allied nations seeking modernization in combat systems.”

Roberto Cingolani, CEO of Leonardo: “The technological and industrial synergies between Leonardo and Rheinmetall present a unique chance to develop cutting-edge Main Battle Tanks and Infantry Vehicles. We see this agreement as a pivotal contribution to the establishment of a European defense ecosystem.”

Specifically, the future joint venture – based in Italy – will serve as the Lead System Integrator, primary contractor, and system integrator in both the Italian initiatives (MBT and AICS) and will outline the roadmap for involvement in the upcoming European Main Ground Combat System (MGCS).

Within the MBT and AICS projects, mission systems, electronics platforms, and weapon integration will be designed and produced by Leonardo according to the needs of the Italian client. These technologies will also lay the groundwork for the development of the future European MBT (MGCS) and new models intended for global export. With the advanced Panther main battle tank and the latest Lynx infantry fighting vehicle, Rheinmetall has the suitable foundational technology for both programs.

Final assembly lines, certification testing, delivery operations, and logistical support will take place in Italy, with a domestic workshare of 60%.

The execution of the MoU ratified today will be contingent on prior approval from the relevant regulatory bodies, including the European Commission and respective national competition authorities.