Rheinmetall to launch IPO for Kolbenschmidt Pierburg unit this June

Article by Anita Panait, on May 9, 2012

Rheinmetall will launch an initial public offering of its shares in its automotive division, Kolbenschmidt Pierburg or KSPG, in the first half of 2012 to concentrate on its defense operations. The company plans to list the shares of KSPG on the Frankfurt Stock Exchange in June, but will not immediately sell its entire stake in the division.

Rheinmetall plans to initially remain as the majority shareholder of KSPG but will yield control of the automotive unit in steps. According to Klaus Eberhardt (chief executive of Rheinmetall), the IPO will allow the company and KSPG to pursue their strategy of each focusing on core businesses. Eberhardt added that it paves the way for both Rheinmetall and KSPG to continue growth, increase market share and improve competitive positions.

People privy to the IPO plans said last week that Rheinmetall could sell a 50 percent stake in the IPO, valuing the KSPG at around EUR1.3 billion. However, the final amount that could be raised from the offering and the size of the stake to be offered will depend on investor demand and market conditions. 

Rheinmetall stated in April that it expects its auto parts revenue to soar five percent to about EUR2.4 billion in 2012. The company originally planned to launch KSPG’s IPO in November 2011 but was forced to postpone it due to market volatility.

Topics: ipo

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

Chevrolet has already given out the pricing for some of its 2018 Equinox models. Not only will the new Equinox be available in both the US and Canada, it is...
by - December 9, 2016
Nearly all details have been set with regards to the upcoming market introduction of the new Jaguar I-Pace. Its production version was recently previewed at the 2016 Los Angeles Auto...
by - December 8, 2016
WM Motor, a new China-based automaker, recently revealed its forthcoming lineup consisting of affordable electric vehicles. While there is a company is the U.S. that has the same name, they...
by - December 8, 2016
Even when Aston Martin has been mum about the upcoming AM-RB 001 hypercar, Marek Reichman at least has something new to say. In a recent interview with Australia’s Motoring, the...
by - December 8, 2016
The people at Mercedes-Benz are rejoicing. This is simply because for the first time since 1979, Mercedes-Benz has assembled 20,000 – and still counting – examples of the Mercedes-Benz G-Class....
by - December 8, 2016
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries