The Braunbehrens and Bode families hold the 50% stake through Wegmann Holding, while the French state owns the other half. Berlin wants the same say as Paris in how the company is run, given its role as a supplier of tanks, armoured vehicles and artillery to the German Army.
Germany would pay less for half of KNDS than the €7.2 billion estimated over the summer for a 40% stake, according to Handelsblatt. That earlier estimate valued the group at about €18 billion.
German media had previously reported that Berlin was considering a 40% stake and might eventually hold as little as 20%. Berlin had pressed Paris to sell part of its holding over time so the two countries would retain equal stakes if Germany reduced its share.
The reported deal follows a delay to KNDS’s planned stock market listing. It is unclear whether Berlin intends to reduce its stake after the purchase.
KNDS Deutschland makes the Leopard 2 and the Panzerhaubitze 2000 self-propelled howitzer. It also jointly produces the Boxer wheeled armoured vehicle and the Puma tracked infantry fighting vehicle.
