Rheinmetall’s agreement with GEK Terna is believed to aim at establishing an industrial hub in Greece, focusing on the production of ground systems such as battle tanks, according to industry analysts and market sources cited by Euro2day.gr.
In yesterday’s announcement, the two companies emphasized that they are moving forward with a strategic partnership following the Memorandum of Understanding (MoU) they recently signed with the aim of strengthening the Greek defense industry.
Although there are many potential collaboration scenarios on the table, sources estimate that GEK Terna’s role will focus on building an industrial base for Rheinmetall.
Unlike other investments in the defense sector, GEK Terna is likely to take on a broader role, leveraging both its expertise in critical infrastructure and its new energy infrastructure.
Rheinmetall already has a presence in Greece and was looking for a reliable partner, ultimately deciding to collaborate with GEK Terna, according to reports.
As an extension of the agreement for the construction of such a facility by Mr. Peristeris’s group, sources estimate that it could secure its energy supply through a PPA (Power Purchase Agreement) to be provided by the new energy player being created by GEK Terna in collaboration with Motor Oil.
The development of an ecosystem
The companies’ announcement emphasizes that the goal of the collaboration is to support the Hellenic Armed Forces with cutting-edge capabilities, based, among other things, new tactical ground systems, as well as the modernization of existing assets with parallel support throughout their entire life cycle.
The goal is also to systematically develop resilient industrial capabilities within the Greek Army’s facilities with the active participation of Greek small and medium-sized enterprises.
Sources add that such activities are typically carried out within Armed Forces facilities, such as those in Volos, with the participation of other companies.
“The two companies will combine their shared expertise to meet evolving operational requirements, with the goal of creating reliable, high-quality integrated defense solutions, while supporting the long-term development of Greece’s defense industrial ecosystem,” the two companies added in their announcement.