Updated version 2 - tk accelis, a subsidiary of thyssenkrupp, makes its debut in the German market with a valuation close to 2 billion USD.

Further comments from the parent company's CEO were added in paragraphs 4-5, with detailed information on valuation and debt in paragraph 8.

Christoph Steitz

Reuters, Frankfurt, October 28 - On Wednesday, as parent company Thyssenkrupp TKAG.DE pushes ahead with its transformation into a holding company structure, shares of materials trader tk accelis TKCC.DE debuted in an initial public offering (IPO) valuing the business at 1.77 billion euros ($1.97 billion).

In this spinoff (link), Thyssenkrupp allocated 49% of tk accelis’s 63.5 million shares to existing investors, while retaining the majority stake. The shares opened at 27.80 euros and had risen to 29.58 euros by 11:13 GMT.

This is Germany’s largest IPO so far by 2026, marking the latest step in Thyssenkrupp’s ongoing transformation. The company said tk accelis has evolved from a materials distribution business into one offering specialized services across the entire supply chain.

“We have now taken another very important step, advancing Thyssenkrupp’s transformation from an industrial group into a financial holding company,” Thyssenkrupp CEO Miguel López told Reuters.

tk accelis handles the procurement, sale, and processing of materials including steel and alloys, and is responsible for their warehousing and distribution management.

This division employs about 15,500 people, accounting for 17% of Thyssenkrupp's total workforce, and posts annual sales of 11.4 billion euros—nearly a third of the group’s total revenue. Its customers include Airbus AIR.PA, BP BP.L, Tesla TSLA.O, and Volkswagen VOWG_p.DE.

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According to the IPO prospectus, after accounting for 710.6 million euros in financial debt, this valuation is at the lower end of some analysts’ estimates.

Jefferies previously estimated tk accelis’s enterprise value including debt at between 2.6 billion and 4.8 billion euros and said its opening price could be between 29 and 64 euros per share.

In July, tk accelis said (link) its medium-term adjusted core profit margin target was 4% to 5%, up from 2% for fiscal 2024/25, and identified the US as a key growth market (link).

As the materials sector consolidates, the business is gaining greater independence (link). German smaller rival Kloeckner & Co KCOGn.DE is being acquired by US-based Worthington Steel WS.N, while US peers Ryerson RYZ.N and Olympic Steel are merging.

The spinoff continues Thyssenkrupp’s strategy of reducing its stakes in operating businesses, including warship builder TKMS ((link) TKMS.DE) and hydrogen unit Thyssenkrupp Nucera ((link) NCH2.DE).

(1 US dollar = 0.8961 euros)

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