KNDS Chairman advocates for IPO despite potential state takeover

Thomas Enders, Chairman of the Board of KNDS, is advocating for a future initial public offering (IPO) for the Franco-German defense company, despite discussions regarding state intervention. Enders characterized a potential state takeover as a “pragmatic solution” and a “transitional model” rather than a permanent business structure.

KNDS, a major European manufacturer of land systems, had previously postponed its planned IPO. Reports indicate the delay stems from a valuation gap, as investors view the company at a lower value than the Wegmann-Holding families' target of approximately 15 billion euros.

Currently, the German government is negotiating to acquire a 50 percent stake from the Wegmann-Holding families, which would leave the French state with the remaining 50 percent. Enders suggested that once market conditions allow, the IPO should be pursued quickly to reduce state holdings, citing the privatization model of Airbus as a successful precedent for protecting national security interests without permanent state dominance.