Turkish Otokar to Acquire Romanian Vehicle Maker Automecanica, Consolidating Local Armoured Vehicle Production
Turkish armoured vehicle producer Otokar has agreed to buy a controlling stake in Romania’s Automecanica, a key partner in its Cobra II 4×4 vehicle programme. The acquisition aims to integrate local production and streamline execution of a major Romanian defence contract.
Turkish defence firm Otokar Otomotiv is moving to purchase a majority share in Romanian defence manufacturer Automecanica, seeking to deepen its footprint within the European Union’s defence industrial base and bring greater control to local armoured vehicle production. The companies signed a memorandum of understanding outlining Otokar’s intent to acquire roughly 96.77 % of Automecanica’s shares, with a targeted closing date by the end of April 2026 pending due diligence and Romanian regulatory clearances.
The acquisition follows Otokar’s award of a large contract to supply 1,059 Cobra II 4×4 armoured tactical vehicles to Romania’s armed forces, valued at about €857 million. Under the programme, approximately 800 vehicles are planned for construction inside Romania, with Otokar’s local subsidiary, Otokar Land Systems SRL, driving industrial execution. The purchase of Automecanica is designed to consolidate activities previously carried out through a joint venture into direct company ownership, potentially simplifying production and strengthening local industrial capabilities.
Automecanica brings established manufacturing infrastructure and necessary defence production licences that support Otokar’s plans to scale vehicle output within the EU market. The move aligns with broader trends of foreign defence firms anchoring production capacity in Europe to comply with domestic procurement policies and bolster regional supply chains. Closing the transaction will see Otokar assume direct control of operations previously handled through joint arrangements.
The planned acquisition also comes amid commercial and contractual developments in the Romanian armoured vehicle programme, including unresolved claims related to delivery milestones. Though Otokar has challenged compensation claims through legal channels, the company has indicated compliance with contractual obligations where required, reserving its rights for dispute resolution.
