The offer period will run from October 1 to 11, with the first day of trading scheduled for October 12. Deutsche Bank, JPMorgan, and Morgan Stanley are lead banks on the deal.

The shares to be made available in the IPO, up to 30% of the company, are currently held by 77-year-old owner and honorary chairman, Mr Heinz Hermann Thiele, and his family, who will retain a majority stake.

The shares will be made available on the Frankfurt Stock Exchange, Luxembourge and private placements in other jurisdictions, with the IPO expected to be completed in the fourth quarter of 2018, subject to market conditions. In the United States, shares will only be sold to Qualified Institutional Buyers.

Knorr-Bremse, which was founded in 1905 in Berlin by George Knorr, reported consolidated revenues of €6.1bn in the 2017 fiscal year, an Ebitda of €1.1bn and an Ebit of €904m.

“Knorr-Bremse has been growing very successfully and profitably for decades, and we have every intention to continue on this path: our excellent strategic position in respect of megatrends such as urbanisation, eco-efficiency, digitisation and automated driving will enable us to pursue further profitable growth, while also improving safety, connectivity, and environmental performance of our industries,” says CEO, Mr Klaus Deller. “A significant and rising share of aftermarket business in our revenue mix will provide further growth potential and business resilience in equal measure. An IPO is the right next step for us: it will give Knorr-Bremse a stable strategic and financial base.”