KME Group has selected investment banks Berenberg and UniCredit to arrange a possible initial public offering (IPO) in Frankfurt for its copper-nickel unit, Cunova. The potential valuation for Cunova could reach up to €1 billion.
The listing is anticipated to occur in either 2026 or 2027, although these preparations are currently preliminary, and additional banks may be added to the syndicate. KME had previously considered a New York listing for Cunova in 2024 through a merger with a special purpose acquisition company, but that plan did not materialize.
Cunova specializes in producing copper-nickel tubes, pipes, and custom coatings, which are essential for demanding applications in maritime, offshore energy, and industrial sectors. KME, traded in Milan, manufactures semi-finished copper items for industries such as aerospace, defense, and e-mobility, with production exceeding 250,000 tons last year.
In early 2025, KME reacquired a 55% indirect stake in Cunova from private investment firm Paragon Partners, adding to its existing 45% holding, with financing from Apollo Global Management Inc. This move also involved restructuring Cunova's debt and integrating KME's aerospace and foundry operations into the subsidiary, forming the "New Cunova Group." The reacquisition was partly supported by €300 million in financing from Apollo-managed funds.
Neither Berenberg nor UniCredit have commented on the IPO plans, and KME and Cunova have not responded to requests for comment. For investors, this potential IPO signifies KME's strategy to provide a distinct view of a specialized business with its own growth trajectory, making Cunova a company to watch for its potential in niche markets.
