Franco-German KNDS postpones planned IPO amid market volatility

Franco-German defence group KNDS has postponed its planned stock market listing, saying it will wait for more favourable market conditions amid ongoing volatility.

The company said on Wednesday that it would resume preparations for the initial public offering (IPO) once market conditions "are supportive." The decision follows a report by the Financial Times that investors were struggling to accept the company's targeted valuation of more than €12 billion ($13.7 billion).

KNDS had previously planned a dual listing in Frankfurt and Paris, in what could have been one of Europe's largest defence-sector IPOs in recent years.

The planned listing is part of an agreement between the German and French governments on the company's future ownership structure. Under the deal, Germany and France are each set to acquire a 40% stake in KNDS, while the remaining 20% is to be sold to institutional investors through the IPO.

KNDS was formed in 2015 through the merger of Germany's Krauss-Maffei Wegmann and France's Nexter. It is currently owned by the German family behind Krauss-Maffei Wegmann and the French state.

The company, which produces the Leopard 2 main battle tank and the Panzerhaubitze 2000 artillery system, employs around 11,000 people and reported revenue of €4.4 billion ($5 billion) in 2025. It is headquartered in Amsterdam, with its German operations based in Munich.