(BFM Stock Exchange) – According to Reuters, the provider of land defense systems explores the possibility of entering the stock market and potentially in Frankfurt, in a favorable context for military spending in Europe.

The European Stock Exchange Sector could be strengthened with new resident potential in its ranks. The Franco-German group KNDS would think about entering the stock market, according to Reuters.

KNDS would have contacted advisers to target a potential IPO at the end of 2025 or in 2026, sources close to the file revealed to Reuters.

According to this same information, the group is planning to enter the Frankfurt Stock Exchange, a stock market place where Rheinmetall are already listed, which manufactures tanks, ammunition and other military or Hensoldt equipment, which provides optronic solutions , sensors and electronics. These same sources also clarified that no bank has been mandated.

The French State Participation Agency (APE) refused to comment on this information when KNDS and its German family shareholder Wegmann-Grupe did not immediately respond to requests for comments from Reuters.

A favorable context for defense on the stock market

The Franco-German military group could benefit from a context currently favorable to military spending on European soil. Last weekend, several European leaders made declarations advocating more defense expenses on the old continent. The fact that the American administration intends to exclude Europeans from negotiations on Ukraine, will also push Europe to make an additional effort on defense investments.

This favorable context has been carrying the values ​​of defense on the stock market since the beginning of the year, and some are even at Sommers. In Paris, Safran won 13.6%, Thales leaps by more than 30%, the specialist in Exosens -EXOSS PLATE increases by 24%when Dassault Aviation climbs by almost 20%. In Milan, Leonardo won 34% over the period, while London Bae Systems appreciates more than 9%.

The KNDS company is the fruit of a joint venture which has brings together two armored vehicles since 2015, namely the French Nexter and the German Krauss Maffei Wegmann.

The group offers a range of products including combat tanks, armored vehicles, artillery systems, weapons systems, robotics, ammunition, customer services, combat systems, solutions training, protective solutions and a wide range of equipment.

KNDS claims an annual turnover of 2.4 billion euros and a order book of around 10.6 billion euros, according to its website.