Thales Offers €134 per Exail Share – German Defense Stocks Rise

With the takeover, "Thales wants to strengthen its position in the underwater warfare market" and "expand its capabilities in the navigation sector." Thales expects annual revenue and cost synergies of more than €90 million by 2032 from the merger. The group's portfolio will be meaningfully supplemented by Exail's expertise in underwater warfare and inertial navigation.

According to the announcement, Exail is clearly a growth stock: in 2025, the company generated €479 million in revenue, an increase of 28 percent year-on-year. Exail's share price has "almost 600 percent" over the past three years. According to the information, Exail has a total value of two billion euros. Thales is thus targeting a high-margin high-tech segment that benefits significantly from rising defense budgets.

Price Gains for German Defense Stocks

The news also buoyed the German defense sector. "Investors are betting that rising arms spending and changing military requirements will boost demand for drones," according to market sources. In XETRA trading, Rheinmetall shares rose by up to 2.80 percent to €1,124.00. TKMS gained 4.29 percent to €87.60, RENK rose by 4.26 percent to €48.795, and HENSOLDT increased by 3.57 percent to €78.28.

Outlook: Mandatory Offer in 2028 at the Earliest

The fact that the deal came about at all is also the result of a bidding war: "The competitor Safran was also interested in a takeover …," but "declared on Friday its withdrawal from the negotiations." Safran withdrew its offer just a few days before Thales was selected. Only then was Thales able to reach an agreement with the Gorgé founding family.

Industry observers view the development as a signal for further consolidation in the European defense sector. While traditional defense groups such as Thales expand their drone and underwater segments, medium-sized suppliers and specialty stocks in Germany are visibly benefiting from the changed investment environment. With the announced takeover bid, competition for niche know-how in the field of autonomous underwater systems is also intensifying.

Market participants emphasize, however, that the actual acquisition of the founding family's stake has not yet been completed and that the mandatory offer to the remaining shareholders will not start until early 2028 at the earliest. Until then, antitrust and regulatory reviews could additionally influence the process.

The article was written by Alexandra Hesse from the team of the finanzen.net editorial staff.