The facility was purchased from the Krudten Erhvervspark A/S consortium, the current owner of the land and buildings of former ammunition factory, which was closed in 2020 by its then-owner, the Spanish company Explosivos Alaveses (EXPAL, now owned by Rheinmetall since 2022).
While the official transaction value hasn’t been disclosed, unofficial Danish media reports suggest a sum of 20 million DKK (approximately 2.7 million EUR).
This purchase is in response to the growing demands for ammunition production, partly influenced by the war in Ukraine. Denmark had previously provided substantial amounts of ammunition to the Ukrainian Armed Forces, depleting its own ammunition stockpile.
The Danish Ministry of Defence has not yet specified the types of ammunition to be produced at the new facility. Unofficially, there are mentions of 155mm artillery shells. Interestingly, this marks the revival of artillery ammunition production in a place of historical significance, as the first government-owned facility for producing artillery ammunition was established in Elling as early as 1676.