Published by Global Banking and Finance Review
Posted on October 2, 2025
By Christoph Steitz
FRANKFURT (Reuters) -Thyssenkrupp is aiming for October 20 for the spin-off of its defence division TKMS, two people familiar with the matter said, in a deal that analysts say could value the warship builder at up to 2.7 billion euros ($3.2 billion).
The company in August said it was hoping to list TKMS, which makes submarines, frigates and mine-sweeping technology, in mid-October, without specifying the exact date.
Thyssenkrupp intends to spin off 49% of TKMS to shareholders, which leaves it as a majority stakeholder in the defence division that has benefited along with other defence groups across Europe from a surge in demand.
This has fuelled investor interest, with analysts reckoning that TKMS could be worth anywhere between 2.3 billion euros and 2.7 billion euros, or around a third of Thyssenkrupp's market value.
HIGHER DEFENCE SPENDING BOOSTS ORDERS
At such a valuation, TKMS would be one of the biggest German listings so far this year, ranking only behind automotive spin-off Aumovio, while prosthetics maker Ottobock could achieve a 4.2 billion euro value at its planned initial public offering next week.
The timing of the spin-off is not final and may still change, the people said.
Thyssenkrupp declined to comment.
TKMS, which competes with rivals such as Italy's Fincantieri, NVL, and France's Naval Group, earlier this week held its first capital markets day in the run-up to the listing, expecting margins to rise to more than 7% over the medium term, from 4.3% in the 2023/24 fiscal year.
The company's order book has more than tripled to 18.6 billion euros over the past five years, boosted in part by European efforts to increase defence spending in the face of Russian aggression in Ukraine and uncertainty over U.S. military support.
($1 = 0.8510 euros)
(Reporting by Christoph Steitz. Editing by Jane Merriman)
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