What Is Expal Systems? The Spanish Ammunition Company Rheinmetall Bought for €1.1 Billion
Expal Systems is a Spanish ammunition manufacturer headquartered in Burgos, acquired by Rheinmetall in 2023 for approximately €1.1 billion. Formerly Europe’s largest independent ammunition company, Expal brought Rheinmetall Iberian Peninsula production capacity, Middle East and North Africa market access via Egyptian and UAE facilities, and smart munitions expertise including the SMArt 155 sensor-fuzed projectile.
Company Identity
| Full Name | Expal Systems S.A. |
| HQ | Burgos, Spain |
| Founded | 1896 (as Explosivos Alaveses) |
| Parent | Rheinmetall AG (from 2023) |
| Acquisition Price | ~€1.1 billion |
| Employees | ~1,500 |
| Production Sites | Spain (4 sites), Egypt, UAE |
Product Portfolio
| 155mm Ammunition | HE, ERFB, base-bleed long-range variants |
| 120mm Tank Rounds | Leopard 2 and Abrams compatible |
| 81/120mm Mortars | NATO standard mortar ammunition family |
| SMArt 155 | Sensor-fuzed smart munition |
| Explosives | TNT, RDX, composite explosives |
Why Rheinmetall Bought Expal
Europe’s 155mm production capacity hit a critical bottleneck after Russia’s 2022 invasion of Ukraine. Rheinmetall’s Expal acquisition delivered three strategic objectives: Iberian production capacity; MENA market access via Egypt and UAE; and smart munitions know-how including SMArt 155.
Sources
- Rheinmetall AG — Expal Acquisition Press Release, 2023
- Defence News — Rheinmetall Expal Deal Analysis
- Jane’s Ammunition
