TKMS rejects bidding war for GNYK: 'Money alone doesn't build ships'

Thyssenkrupp's defense subsidiary, TKMS, has no intention of engaging in a bidding war at any cost against its rival Rheinmetall for the GNYK shipyard. 'We are not prepared to pay any price in the world,' TKMS CEO Oliver Burkhard stated on Monday. 'We are doing quite well on our own,' he added, emphasizing that while the acquisition is 'an option, it is not a must.' On the other hand, GNYK, a subsidiary of the French family-owned group CMN Naval, is located right in the middle of the TKMS site and would be a good fit for the company. 'We could do a lot with it operationally,' Burkhard said. 'Money alone doesn't build ships.'

The Duesseldorf-based defense group Rheinmetall is significantly larger than TKMS, which specializes in submarines and naval vessels. TKMS had submitted a non-binding offer for GNYK, and Rheinmetall CEO Armin Papperger has now followed suit. He intends to acquire the shipyard to expand Rheinmetall's maritime business.

(Reporting by Matthias Inverardi and Christoph Steitz, edited by Sabine Wollrab. For inquiries, please contact our editorial team at [e-mail] (for politics and economics) or [e-mail] (for companies and markets).)