The German government will pay 6.6 billion euros for a 50% stake in Franco-German defense group KNDS, which makes Leopard tanks, Reuters reports. Berlin initially planned to acquire 40% of the company for up to 7.2 billion euros. The deal will allow Germany to equalize influence with France in managing the manufacturer and avoid blocking key decisions. In the future, the two countries plan to reduce their holdings in KNDS to 40% each through an initial public offering.

The German government will pay 6.6 billion euros for a 50% stake in Franco-German defense group KNDS, which makes Leopard tanks, Reuters reports. Berlin initially planned to acquire 40% of the company for up to 7.2 billion euros. The deal will allow Germany to equalize influence with France in managing the manufacturer and avoid blocking key decisions. In the future, the two countries plan to reduce their holdings in KNDS to 40% each through an initial public offering.