The planned sale of the steel division has stalled, pushing the share price to a new low for the year. At the same time, the group is struggling with losses and has to demonstrate progress with its trading subsidiary.
The planned sale of the steel division to Jindal Steel & Power threatens to fail – and at the worst possible time. According to people familiar with the negotiations, senior employees at Thyssenkrupp are increasingly doubtful that a deal will be reached. The share then fell to a new 52-week low of EUR 7.80 – a decline of more than 36 percent in the last month alone.
Why the Jindal talks are stalling
The negotiations are stuck at several critical points. Jindal is calling for further cost cuts, while IG Metall is demanding far-reaching job guarantees as a condition for its approval. The real core problem: It is unclear how much capital Jindal would provide to support Thyssenkrupp Steel Europe through the ongoing downturn in the European steel market – a market that is simultaneously burdened by overcapacity, cheap imported steel and pressure to decarbonize.
If the deal ultimately fails, Thyssenkrupp will be left without a clear plan for its structurally burdened steel division. In the first quarter of 2025/26, the restructuring costs at Steel Europe alone, amounting to 401 million euros, reduced the consolidated result to a net loss of 334 million euros. Management expects a net loss of between 400 and 800 million euros for the full year.
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Three construction sites, one tight deadline
Parallel to the steel debacle, Thyssenkrupp is fighting on two other fronts. The trading subsidiary Materials Services – one of the largest divisions with annual sales of 11.4 billion euros and more than 15,000 employees – must demonstrate operational progress by the end of March. Otherwise, the spin-off, IPO or sale will be closer; According to the company, an IPO would be conceivable as early as autumn.
When it comes to green steel, Thyssenkrupp recently had to pause the procurement of hydrogen for the Duisburg plant because the price offers submitted significantly exceeded expectations. The construction of the direct reduction plant is nevertheless continuing as planned. After all: two milestones for the steel realignment have been set – the collective agreement of December 2025 and the agreement with Salzgitter on the future of HKM, the transfer of shares in which is planned for June 1, 2026.
Marine systems as a calm pole
The marine division TKMS, which was listed on the stock exchange in October 2025 and has been listed in the MDAX since December, offers an anchor of stability. With an order backlog of 18.7 billion euros, the division is in a solid position – and is currently the only bidder for the Bundeswehr’s F127 frigate program as well as an order for up to twelve submarines in Canada.
Thyssenkrupp will present its half-year report on May 12th. Until then, the operating results at Materials Services and the further course of the Jindal talks will show whether the group restructuring is still on track.
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