Denel Vehicle Systems wins R900 million vehicle contract with UAE


Denel Vehicle Systems (DVS), formerly BAE Systems Land Systems South Africa, has been awarded a R900 million contract with NIMR in the United Arab Emirates for the development and supply of N35 mine-protected vehicles.

Announcing the contract today, Denel said it was one of the largest orders received in recent years and will provide work for two of Denel Vehicle Systems’ major divisions for the next 24 months. These are the OMC division of DVS, which specialises in wheeled armoured and mine-protected vehicles, and the Gear Ratio division, which is tasked with the assembly of driveline components.

Zwelakhe Ntshepe, Denel Group Executive Business Development, said the new contract confirms Denel’s leadership role in landward mobility and mine-protected vehicles. It is one of several contracts awarded to DVS since it joined the Denel Group earlier this year.
“We are delighted to work with NIMR, one of world’s leading manufacturers of wheeled armoured vehicles,” said Ntshepe. “There is a strong synergy between our companies and products and we are confident that we can, together, develop and improve the N35 to be among the best in its class.”

The N35 was formerly known as the RG-35 and can be used in command, ambulance and recovery roles. The RG-35 was launched in 2009 and since then evolved into the 4×4 RPU (Recce Patrol Utility), IFV (6×6 Infantry Fighting Vehicle) and the 4×4 MIV (Motorised Infantry Vehicle). The 6×6 version was launched at the 2012 Africa Aerospace and Defence exhibition and features an 8.5 ton payload with seating for up to 14 crewmembers.

Ntshepe said the contract with NIMR follows on the awarding of several other contracts to Denel’s landward defence business in recent months amounting to over R1 500 million in total. These include a contract for 24 RG-31 mobile mortar platform (MMP) vehicles to be delivered in the next 12 months; contracts from Armscor for the maintenance of and the supply of spares for both combat and support vehicles; and a contract was with Steloy Castings for components used in the new Transnet electric locomotives.

The RG31 Mobile Mortar Platforms feature mortar systems from the International Golden Group in the United Arab Emirates.

On 28 April this year, BAE announced the sale of its 75% stake in Land Systems South Africa to Denel for R641 million ($53 million) in cash, although the complete acquisition cost Denel R855 million, as it also bought the remaining 25% stake from BAE Systems’ partner DGD Technologies.

DVS has not dropped any vehicles since the takeover by Denel, with the core lineup being the RG-12, RG-31, RG-32, RG-35 and RG-21.

The Denel Group now has under one roof DVS, Denel Land Systems, Mechem and Land Mobility Technologies (LMT).