KNDS France moves to acquire defence business of Texelis

On 29 January 2025 KNDS and Texelis signed a memorandum of understanding (MoU) concerning the proposed acquisition by KNDS France of Texelis’ defence-related business.

Under the MoU the two parties announced that they are entering into exclusive negotiations with a view to carrying out the transaction, which will require the separation of Texelis into two companies: Texelis Défense and Texelis Transport.

Information and consultation of employee representative bodies on this project is scheduled to take place in the next few days.

Final completion of the acquisition is expected by the end of 2025 but remains subject to the finalisation of agreements and “to the usual conditions precedent for this type of transaction”, the companies noted in a joint press release.

Based in France, Texelis operates a defence business specialises in land mobility and the design of cutting-edge solutions for armoured land vehicles. It is a major player in the French defence industry, producing numerous parts and mobility components for French armoured vehicles. Since winning the French Army’s Serval light multi-purpose armoured vehicle contract with KNDS France, Texelis has been able to develop, qualify and produce complete mobility solutions for 4×4, 6×6 and 8×8 vehicles.

Texelis is also at the forefront of AFV hybridisation, as well as energy management applied to mobility.

KNDS France is the government-owned land systems house, previously known as Nexter, that merged with Germany’s Krauss-Maffei Wegmann in 2015 to form KNDS.

With the defence side of Texelis acquired by KNDS France, its transport business would remain under the control of its management team, with the support of its investors.

Texelis employs 350 people and generated sales of around EUR 110 million in 2023. In addition to its production site in Limoges, Texelis already has a branch at the KNDS France site in Roanne.

“This structuring project will enable us to strengthen our growth and increase our skills in the mobility field, with a high-performance French company that we know well and that is already our partner in the temporary business venture Serval,” said Nicolas Chamussy, CEO of KNDS France.

Charles-Antoine de Barbuat, chairman of Texelis, added, “The future integration of Texelis’ Defense business into the KNDS group would open up numerous growth prospects, beyond the initial success of the collaboration. In addition, the Transport business has all the assets needed to pursue its development independently.”