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FINANCIAL NEWS
UAE ammunition plant secures $272m loan from local bank
04 Jan 2011
(MENAFN) Company officials at Abu Dhabi’s Burkan Munitions Systems revealed that it has secured a $272 million credit facility from a local bank, in order to expand its production lines and upgrade its ammunition testing lab, Reuters reported.
Burkan Munitions, which supplies the UAE’s armed forces with ammunitions, is a joint venture between Tawazun Holding, an investment company established by the Offset Program Bureau, Abu Dhabi’s Al-Jaber Group and Germany’s Rheinmetall Waffe Munition, founded in 2008.
According to Burkan Munitions officials, the company is planning to export ammunitions ranging from bullets to tank shells and bombs used by warplanes, to neighbouring Gulf states and other countries in the region.
It is worth noting that between 2006 and 2009, the UAE made arms deals worth $14.2 billion, and is also expected to invest as much as $17 billion in coming years to buy an advanced missile defence system and fighter planes.
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