CEO Armin Papperger: “We are creating a naval powerhouse in Germany”
The Düsseldorf-based technology group Rheinmetall has agreed with the Lürssen Group on the key terms of an acquisition of Naval Vessels Lürssen (NVL B.V. & Co. KG, Bremen-Vegesack), the military division of the long-established Bremen shipyard, and all its subsidiaries. The parties intend to formally conclude the transaction in the near future. Subject to approval by the relevant antitrust authorities, the parties are aiming to complete the acquisition in early 2026. Both parties have agreed not to disclose the purchase price.
With this significant strategic acquisition, Rheinmetall is expanding its portfolio to include naval shipbuilding and strengthening its position as a leading supplier of defence technology in Germany and Europe.
Armin Papperger, CEO of Rheinmetall AG: “In future, we will be a relevant player on land, on water, in the air and in space. Rheinmetall is thus developing into a cross-domain system house”.
Friedrich Lürßen, Managing Partner of Lürssen Maritime Beteiligungen GmbH & Co. KG: “‘We are delighted to have found a trustworthy and strong partner in Rheinmetall, which can secure a successful future for NVL and its employees.”
Over decades, Rheinmetall has established itself as a renowned supplier worldwide, particularly in the field of army technology, but for many years it has also been a proven partner to the naval forces of numerous countries in the maritime sector. Rheinmetall already offers a selected range of modern system components for naval applications and is a leading global supplier, particularly of simulation solutions and naval protection systems.
Armin Papperger: “With the newly agreed acquisition, we are taking a decisive step forward in consolidating the defence industry in Germany and Europe. Combined with Rheinmetall’s expertise, we are creating a vital German powerhouse for state-of-the-art vessels. The combined capabilities of Rheinmetall and NVL will generate mutual growth and thus strengthen our corporation’s position in the naval sphere. At the same time, we are making a substantial contribution to strengthening the naval defence capabilities of Germany and its NATO allies”.
The current conflict situation reveals that military enforcement capabilities are also becoming increasingly important in the naval sector. Rheinmetall intends to meet the massive increase in demand from naval forces and rising procurement budgets with high-performance system solutions which feature a highly modern digital infrastructure and cover the entire spectrum – from platforms and electronics to sensors and effectors.
NVL is a privately owned shipyard group with four shipyards in northern Germany (Peene-Werft/ Wolgast, Blohm+Voss and Norderwerft/ Hamburg, Neue Jadewerft/ Wilhelmshaven) as well as international locations. It employs around 2,100 people worldwide, generated sales of around €1 billion in the 2024 financial year and is considered a pioneer in the research and development of autonomous maritime surface systems. Since its beginnings around 150 years ago, NVL has built around 1,000 ships at its shipyards and delivered them to over fifty different navies and coast guards. It is an established player in both military shipbuilding and ship maintenance and repair. Formerly known as Lürssen Defence, NVL was separated from the yacht division in 2021 and continued as an independent company within the family-run Lürssen Group. NVL supports fleets throughout their entire life cycle, helping to keep the German Navy and navies worldwide ready for action at all times.
Armin Papperger: “This acquisition will not only make us a manufacturer of floating platforms. As an integrated naval powerhouse, we want to offer complete system solutions. In future programmes, we will provide our customers with all high-quality components from our partner network, delivered as an integrated solution from a single source: naval missiles and launchers, main and secondary guns for the navy, missile defence, sensors and other electronics. For combat management systems, we want to enable the integration and Germanisation of existing solutions from our partner network.”
A key factor for Rheinmetall’s success is that the corporation already has excellent market access in the global naval sector, maintains a strong presence in international markets, and enjoys the trust of its customers.
Another advantage for Rheinmetall derives from the expansion of production capacities and the extension of the corporation’s industrial base in northern Germany. Synergy effects are expected, particularly regarding the vehicle production by Rheinmetall’s Vehicle Systems division, which operates sites in Kiel and Flensburg, among other locations, based on shared material and technology expertise.
NVL’s shipyards offer the opportunity to utilise existing heavy infrastructure, employee expertise and equipment capabilities to strengthen Vehicle Systems production and create capacity reserves for the future in the automotive sector. This enables Rheinmetall to minimize excessive infrastructure investments or extensive conversions of other production lines.
