Franco-German defense group KNDS plans to list in Frankfurt and Paris, joining Europe’s growing defense IPO wave as investor interest in military stocks remains strong.
KNDS, the Franco-German maker of Leopard 2 tanks and Caesar howitzers, plans to list its shares in Frankfurt and Paris, marking one of Europe’s biggest defence IPOs in recent years, Reuters reported.
The company said it will sell 20% of its share capital through the IPO, with proceeds going entirely to existing shareholders. A source familiar with the matter said the offering is likely to value KNDS at around €15 billion.
Germany and France will each retain a 40% stake in KNDS after the listing, preserving equal control of the defence group. Under the agreement, both countries can reduce holdings below 30% only with mutual consent over the next decade.
The listing comes as Europe’s defence sector continues to attract investor interest following higher military spending across the region. However, defence stocks have shown volatility in recent weeks.
Reuters noted that Czech defence group CSG completed a major IPO earlier this year, while German shipbuilder TKMS also debuted recently.
KNDS was formed in 2015 through the merger of France’s Nexter and Germany’s Krauss-Maffei Wegmann. The German Armed Forces remain its largest customer.
