Thyssenkrupp Stock: CEO Contract Extension Sparks Tension

Thyssenkrupp shares climbed 3.9% this week to €8.87, despite significant internal conflict. The supervisory board extended CEO Miguel López's contract until 2031, facing strong opposition from labor representatives. The union leadership voted unanimously against the extension, criticizing López for demanding sacrifices from workers without demonstrating sufficient performance himself. Supervisory Board Chairman Siegfried Russwurm praised López's "enormous energy" in strategic repositioning, using his tie-breaking vote to secure the extension. Meanwhile, the company continues its transformation into a holding structure with five independent businesses, aiming to attract external investors – a strategy that has met resistance from the workforce.

Ambitious Projects Moving Forward

The marine division TKMS is scheduled for partial IPO this year, with shareholders voting on August 8 about floating 49% of the submarine manufacturer while Thyssenkrupp retains 51% of the highly valuable unit with its €18 billion order backlog. Unlike competitor ArcelorMittal, which abandoned its green steel initiatives, Thyssenkrupp is maintaining its climate-friendly production plans despite economic challenges. The company acknowledges its first direct reduction plant in Duisburg, scheduled for completion by 2030, operates "at the limits of economic viability" despite receiving €2 billion in government subsidies. The plant will eventually replace two blast furnaces, initially operating with natural gas before transitioning to hydrogen.

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Source StockWorld