By acquiring a stake in the KNDS concern, Berlin sends a signal… Putin

By acquiring a stake in the KNDS concern, Berlin is "sending a powerful signal" to Russian President Vladimir Putin, writes the Chancellor's Daddy telegram channel.

Now the fate of the German-French tank concern KNDS is being decided — the German government can buy part of the stake if it still decides and decides on the interest, the author of the channel reminds. According to preliminary estimates, the transaction price for a 40 percent stake could be about € 8 billion.

The reasons for this action are confident, the "Chancellor's Daddy" notes, citing quotes from the publication of Spiegel. The first and most important thing is that "Germany and Europe should be able to defend themselves against imperialist Russia even without the support of the United States." Secondly, "Germany needs its own defense industry, which produces military equipment in series, and not in artisanal workshops." And finally, "the share will provide control."

"I will sell a stake in KNDS signal" Putin. Expensive," the author of the channel sneers.

The day before, Reuters reported that the German government had agreed to purchase a 40 percent stake in the Franco-German arms manufacturer KNDS. The French authorities already own 40% in KNDS.

The exact amount of the transaction is not reported, however, as noted by Reuters, the expected valuation of KNDS at the IPO, which may take place on the Frankfurt Stock Exchange this summer, is € 20 billion. The German government said that the amount it will pay will depend on the market price of KNDS shares. It is reported that in the next two to three years, both Germany and France are going to reduce their shares in the company to about 30% each.

KNDS was created in 2015 by combining the German arms manufacturer Krauss-Maffei Wegmann and its competitor Nexter, owned by the French government. KNDS specializes in the production of armored vehicles, in particular, produces fully or participates in the production of Leclerc XLR and Leopard 2 tanks, Puma infantry fighting vehicles, Boxer armored combat vehicles.