The State has decided to buy the public group Industrias Giat, owner of the manufacturer of armored vehicles and ammunition Nexter, the National Society of Gunpowder and Explosives (SNPE), an operation presented as “purely technical” since it was already 100% public.
“The sale will take the form of an exceptional distribution of dividends in kind for the assignment of all the shares of the company SNPE SA, by Giat Industries SAS to the State, for a value of 417,776,975 euros”, announces a decree adopted on past January 12. and published on Wednesday in the Official Gazette.
A “purely technical” shakeup
The history of the SNPE dates back to the 14th century, when a royal charter for gunpowder manufacturers was instituted. It is now a holding company that owns 100% of Eurenco, its operating subsidiary. It was previously owned by Giat Industries, a holding company that also includes the French 50% stake in KNDS, Nexter’s French-German parent company.
Eurenco manufactures explosives, gunpowder and propellant charges for artillery, tank ammunition, mortars and even naval ammunition.
According to the State Participation Agency, “it is a purely technical internal reorganization” that allows, in particular, “to simplify the organization of Eurenco, which was and continues to be 100% owned by the State.”
The operation aims, according to Eurenco, “to strengthen its position as a European industrial leader and accelerate its development in France and internationally”.
The first phase of a Eurenco transformation plan launched in 2019 to increase Eurenco’s notoriety in its markets and, in particular, “to ensure better visibility of its businesses and its offers (and) to strengthen the feeling of ownership of employees in France and abroad”. , according to the company. Present in France, Belgium and Sweden, Eurenco achieved a turnover of 275 million euros in 2021 for a net profit of 22 million euros.
Source: BFM TV
