KNDS' family owners discuss stake sale to Germany, IPO off - Handelsblatt

Families owning 50% ​in Franco-German tank maker KNDS ​aim to sell ‌their stake ​to the German government and are no longer pursuing an initial public offering, German ‌business daily Handelsblatt reported on Wednesday. A final decision is expected in the coming weeks while negotiations are still focused on the ‌price, Handelsblatt added, citing several people familiar with the matter.

KNDS ‌did not comment on potential discussions between the government and the families. "Regarding the IPO, it remains the objective of KNDS," a spokesperson said. The family ⁠owners ​declined to ⁠comment. The German economy ministry did not immediately reply to a request ⁠for comment.

The defence contractor's future ownership became uncertain in early July ​when plans for an IPO were put on hold ⁠over tough market conditions. The listing would have been among the European defence sector's ⁠largest ​IPOs in recent years, with KNDS' German family owners and the French state, which both hold 50% of ⁠shares, each selling 10% to investors.

Under the plan, the families also ⁠intended to ⁠sell their remaining 40% stake to the German state.