Germany's primary shipyard, TKMS, secures autonomy
Thyssenkrupp Marine Systems (TKMS), Germany's leading naval shipbuilder, is set to go public following a shareholder approval for its spin-off from parent company Thyssenkrupp. The company, with an order backlog of over €18 billion, has recently secured orders from Germany, Norway, Israel, and Singapore.
Board Composition and Independence
The new company will be governed by a supervisory board of 10 members. Six members will be appointed by the parent company Thyssenkrupp AG, one will be nominated by the federal government, and one seat is expected for the Krupp Foundation, the largest single shareholder. The remaining members, including independent representatives, are yet to be finalized.
However, the current structure has raised concerns about the true independence of TKMS. Critics argue that the parent company's dominance on the board will limit independence, with calls for a majority of independent supervisors to protect minority shareholders' interests.
Employment, IPO, and Future Investments
TKMS currently employs around 8,300 people and operates shipyard locations in Kiel, Wismar, and Itajaí, Brazil, among others. The company's Initial Public Offering (IPO) will make its value more visible externally and provide direct access to the capital market for investments in new technologies and markets.
Notable Orders and Future Plans
TKMS has been awarded the contract to build the new German research ship "Polarstern 2" for extreme climate and weather conditions, with a contract volume of around €1.2 billion. The company is also the world leader in non-nuclear submarines and builds frigates and corvettes.
As part of a planned corporate restructuring at Thyssenkrupp, TKMS' independence is just the beginning. The other four divisions are also set to be established independently and opened up for third-party participation in the coming years.
Security Agreement and Shareholder Response
The federal government is planning a security agreement with TKMS, granting them special information and consultation rights for sensitive activities. The largest single shareholder of Thyssenkrupp AG, the Krupp Foundation with a 21 percent stake, is expected to receive a seat on the TKMS supervisory board.
Shareholders generally expressed positive sentiment towards the TKMS spin-off at the general meeting. However, Hendrik Schmidt of DWS criticized the planned management structure, stating that six out of ten supervisory board members are determined by Thyssenkrupp, and called for the supervisory body to be mainly independently staffed to protect minority shareholders' interests.
The security agreement is set to be concluded by the end of September. With the IPO imminent and the company's future looking promising, TKMS is poised to make waves in the global shipbuilding industry.
More technology investments may be possible for Thyssenkrupp Marine Systems (TKMS) following its Initial Public Offering (IPO), using the direct access to the capital market that the move offers. However, concerns about TKMS' true independence persist, as critics argue that the parent company's dominance on the board could potentially limit independence, with calls for a majority of independent supervisors to protect minority shareholders' interests.
