Rheinmetall Secures Multi-Million Euro Deal: Bundeswehr Orders New MELLS Missiles and Command Units

The German Bundeswehr has secured a new acquisition for the state-of-the-art MELLS antitank guided missile system from EuroSpike GmbH, a collaboration between Rheinmetall and its associates Diehl Defence and Rafael. An additional 666 guided missiles and 82 combined command and launch units have been released based on the existing framework agreement. The latest acquisition is valued at approximately €88 million. Rheinmetall will be providing essential components to EuroSpike, the manufacturer of the MELLS, a versatile and lightweight guided missile system. For Rheinmetall, this new order will translate into incoming contracts worth around €17 million net. Deliveries are scheduled for the period spanning 2022-2024.

The fourth tranche of MELLS missiles to be ordered by the Bundeswehr, these systems are designated for German infantry and mechanized infantry divisions. Rheinmetall will be providing 82 combined command and launch units, in addition to 666 sets of components for the Rafael-manufactured Spike LR (long-range) guided missile. The latest version of the launch system, now on order, is already capable of firing the upgraded Spike LR 2 guided missile.

Finalized in October 2019, the framework agreement includes an option to manufacture and supply approximately 100 combined command and launch units as well as thousands of MELLS guided missiles from 2024 to 2031. Altogether, this could result in incoming contracts for Rheinmetall amounting to three-digit million-euro figures.

Produced by EuroSpike – a partnership where Rheinmetall holds a 40% interest – the MELLS is a cutting-edge effector designed for targeting armored ground objects at distances up to 4,000 meters, or 5,500 meters when utilizing the Spike LR-2.

Rheinmetall has vast expertise with the MELLS. The firm has already integrated this advanced guided missile into the Marder infantry fighting vehicle and is currently working on its integration within the Puma IFV. Additionally, another contractor is integrating the system into the Wiesel airmobile weapon carrier.

Looking forward, enhanced connectivity of the combined command and launch units with Rheinmetall’s “Future Soldier – Expanded System” soldier system through the TacNet command and information system may offer additional opportunities. This would further enhance the sensor-to-shooter link.