German defense giant Rheinmetall has acquired a majority stake in the business of Resonant Holdings Ltd, a leading South African specialist in plant engineering for chemical applications.

Rheinmetall reported on this.

Through the majority stake, Rheinmetall Waffe Munition will own the newly created company Rheinmetall Resonant South Africa.

The acquisition of this South African company will significantly increase the German giant’s capabilities and expand the production of ammunition.

“The company to be founded expects an annual sales potential of more than €100 million,” Rheinmetall said.

The company also notes that due to its large production capabilities, the company will become an independent supplier and a European leader in the production of ammunition.

First of all, the company aims to significantly expand the production of 155 mm artillery shells, which have become scarce due to the Russian invasion of Ukraine.

The Republic of South Africa is one of the main producers of artillery shells under the leadership of Rheinmetall.

The Rheinmetall-Denel Munition joint venture produces a wide range of German-designed ammunition, including its own development.

With the acquisition of Resonant, which specializes in the production of chemicals, including gunpowder, the company will provide sufficient growth in the full cycle of ammunition production in South Africa.

Militarnyi previously reported that the German defense concern Rheinmetall had received its first order from the Ukrainian government to construct an ammunition factory in the Ukraine.

It is foreseen to begin in the short term and to be completed within a few years.

The intention is to start the ammunition production in Ukraine within 24 months.

Together with its Ukrainian joint venture partner, Rheinmetall will also be responsible for operating the plant.