(News Bulletin 247) – The military naval branch of Thyssenkrupp will enter the Frankfurt Stock Exchange on October 20, as part of the dismantling of the Essen group which wants to relaunch itself by automating several of its activities.

TKMS, the naval branch of Thyssenkrupp, will enter the Frankfurt Stock Exchange on October 20, announced Tuesday October 14 the first European steelmaker engaged in a restructuring plan.

The group announced this summer the split of this branch called to play an increased role in European rearmament, in the face of Russia’s ambitions and American withdrawal.

“Thanks to the IPO, we are creating growth opportunities (…) and value for our shareholders,” commented Miguel López, CEO of Thyssenkrupp, in a press release, assuring that he wanted “new room for maneuver for TKMS, for Thyssenkrupp and for our investors”.

One TKMS share for 20 Thyssenkrupp shares

For 20 shares in the group, each shareholder will receive one share of TKMS, explains the press release. Concretely, shareholders will share 49% of the shares of the manufacturer of submarines and frigates, while the conglomerate will retain a majority share.

TKMS only represented around 6% of the group’s turnover in 2024, but it is one of the only branches to still be profitable, driven by the dynamism of its orders placed with several European and allied armies.

Several shareholders had nevertheless criticized a mode of governance of the future company that was too closely linked to the parent company.

After two consecutive annual losses, Thyssenkrupp announced in June that it wanted to gradually separate all business sectors, which also include steel, automobile parts and electrolyzers.

The group wants to become a financial holding company which continues to hold stakes in its companies.

The price of Thyssenkrupp lost 1.24% on Tuesday at the opening of the Mdax, the mid-cap index of the Frankfurt Stock Exchange. However, it has gained more than 200% since the start of the year.

(With AFP)