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IPO of German Tank Maker KNDS on Track, says CEO

BERLIN, March 19 (Reuters) - KNDS CEO Jean-Paul Alary said the tank maker remains on track for a planned stock ​market listing this year despite political debate ‌about the German government taking a stake in the company.

"There are no obstacles. The IPO is planned and we are ​on schedule," Alary told reporters late on ​Wednesday, adding that the listing would take place ⁠in 2026 if market conditions allow. He declined ​to give a precise date.

Bankers expect the multibillion-euro dual ​listing in Paris and Frankfurt – which could value KNDS at around 20 billion euros ($22.9 billion) – in June or July, with roughly ​25% of shares to be floated.

Alary signalled that ​KNDS aims to raise fresh capital alongside a sale of ‌existing ⁠shares.

"We can use this additional capital for investments" and potential acquisitions, he said, while reiterating that the group will stay focused on land systems.

Alary dismissed suggestions ​that rival Rheinmetall ​might use ⁠the IPO to build a stake, saying he saw no strategic value in ​such a move.

KNDS, formed from Germany's Krauss-Maffei ​Wegmann ⁠and France's Nexter, is jointly owned by the French state and Germany's Bode family. Berlin aims to acquire ⁠a ​blocking minority of at least ​25%, though the timing remains open, according to sources.

($1 = 0.8724 euros)

Reporting by ​Alexander Huebner, Writing by Friederike Heine Editing by Ludwig Burger

Source: Reuters


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