TKMS Shares Gain on Potential Canadian Submarine Order

TKMS shares rose nearly 5% after Canada selected the German naval builder as its preferred supplier for 12 conventional submarines, marking the country's largest military procurement. The stock gained 3.9% in early trading. Analysts noted the deal extends company visibility for years. TKMS beat out South Korea's Hanwha Ocean, though Canada retains the right to choose the Korean bid if negotiations with TKMS fail.

By Sarah Sloat

Shares in TKMS rose after Canada chose the German naval ship and submarine builder as its preferred supplier for 12 conventional submarines.

TKMS shares traded 3.9% higher in early European trading at 96.90 euros, after jumping nearly 5% at the open. Analysts at Deutsche Bank and Mwb said the potential order would extend visibility for the company for years, if not decades.

Canadian Prime Minister Mark Carney said Monday that the purchase of the German-made submarines would be the largest military procurement in the country's history.

TKMS beat out a bid from South Korea's Hanwha Ocean. Canada has the right to opt for South Korean submarines if talks with TKMS fail, Carney said late Monday.

Write to Sarah Sloat at sarah.sloat@wsj.com

(END) Dow Jones Newswires

July 07, 2026 03:30 ET (07:30 GMT)

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