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Let's take a look at some stocks on the move today in Europe. I'm Stephen Caroll and I'm joined by Bloomberg reporter Chloe Melee. Chloe, good morning to you. Let's start with the French luxury group carrying an announcement from them selling off one of their divisions.
Yeah, so Karen sold their beauty division to Laurel in a four billion euro deal and that is part of a broader strategic partnerships between the the two company in beauty and wellness in particular. So the move is a reversal of the previous strategy from Caring, which had tried to push into that beauty and cosmetics segment under previous management because some luxury rivals like LVMH had found quite
a bit of success there. It's also seen as the first really big move by Kring's new CEO, Luca de Meyer, who started last month and has been trying to turn around carrying the same way that he managed to turn around Renault and one of his priorities has been to slash costs in address carrying is really high debt burden, and some analysts have said that the divestment of that beauty business is good for the balance sheet and therefore it has been rewarded by the market this morning with
shares higher. Demo is expected to unveil the strategic vision next spring, but in the meantime he has been making some moves already and that is being quite quite well received so far.
Yeah, certainly those carrying shares up four point two percent at the moment in Paris next to a spinoff from Tissum Kroup. So the submarine maker and shipbuilder TKMS makes its trading debut today.
Yeah, it made his trading debut in Frankfurt today. It's very positive trading debut. So the spinoff decision by thisism crop was made to kind of capitalize on the defense spending boom in Europe and therefore the submarine in Warship Manufacturing Division take Teams was a spin off TKMS. TRUW is quite a good debut given it's been a very
positive day for the European defense sector today. We've seen the shares in RAIMETTAW Han Salt Leonardo or rising today as the ceasefire and Gaza looks a bit more fragile, and there's no more progress that's been made on Ukraine, so those tensions have been driving those shares in that sector higher. Going forward, TKMS is likely to benefit from that broader European defense spending a boost, but specifically German
defense spending. However, it is worth noting that Europe's reomnment has been centering on land and air power, not so much on submarines and warships, and the current naval procurement from Germany foresees no major expansion of the submarine fleet. So the opportunity is there and it seems to be reflected in the shares, but perhaps not as massive as was hoped.
Okay, so let's turn to Hulsom next, the Swiss construction company announcing a new acquisition.
Yeah, so, provider of building materials at Wholesome is set to acquire Exzella, which is a company that builds walls, which I mean we all need those. It's a two point two billion dollar deal, which is the largest in four years for Wholesome and a deal that the market is quite happy about. So it'll expand its offering beyond the core cement cement business and then also part of a strategy to have kind of more expensive and more sustainable products, so it can have that value over volume
approach that's quite good for margins. Of course. It will also boost the exposure to the German residential market, which is expected to see an aptic inactivity, and it will gain access to new markets like Norway, Sweden and Denmark. Wholesome has changed quite a bit recently. Earlier this year, the company spart off its North American operations in a new dual listing between Switzerland and the US, and so
far the market has been quite happy about it. You know, the shares are up more than fifty percent over the last year, and this latest deal for Exella has been also very well received.
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