Franco-German defence group KNDS is to list on the stock exchanges in Frankfurt and Paris, the maker of battle tanks and artillery systems announced on Wednesday.
Further details on pricing and timing will be provided in the listing prospectus, which is to be published shortly before the actual transaction, the company said.
Chief executive Jean-Paul Alary revealed only this much at a press conference: "We expect the stock market listing in the coming weeks."
Germany to take 40% stake
The KNDS listing had been widely anticipated and is considered by observers to be one of the largest European defence sector initial public offerings (IPOs) in recent years.
It follows an agreement between the governments in Berlin and Paris on the future ownership structure of the company, which is currently owned by the French state and the family behind defence manufacturer Krauss-Maffei Wegmann.
Under the agreement, Germany and the French state will each acquire a 40% stake in KNDS. The remaining 20% is to be sold to institutional investors as part of the listing.
No shares for private investors
Alary said the company had already held many talks with potential buyers and that interest was very high, without naming any specific parties. KNDS has explicitly ruled out a placement with private investors.
The group was formed in 2015 through the merger of Krauss-Maffei Wegmann and French company Nexter and is one of Europe's leading providers of land systems.
Its portfolio includes the Leopard 2 battle tank and the Caesar artillery system. The company says it supplies more than 40 armies worldwide.
KNDS, which has around 11,000 employees and is headquartered in Amsterdam, increased its revenue to €4.4 billion ($5 billion) last year.
