Mercedes-Benz Group AG MBGYY is preparing to activate a significant capital lever as operating conditions tighten. During a call with investors, Chief Financial Officer Harald Wilhelm said the company plans to sell part of its roughly 35% stake in Daimler Truck Holding AG this year. The holding is currently worth around €12 billion. Management indicated that details on the size of the divestment will be provided in May, suggesting the transaction could become a key focus for investors evaluating capital allocation and balance sheet flexibility.
The proceeds from the sale are expected to be returned to shareholders, according to the CFO, positioning the move as a shareholder-focused action rather than a defensive liquidity step. The announcement came as Daimler Truck shares fell as much as 2.7% in Frankfurt, reflecting near-term market sensitivity to potential share supply. Mercedes retained its stake when it spun off the commercial vehicle business in 2021, and a partial sale would further reduce the historical ties between the two companies.
The timing is notable. Earlier the same day, Mercedes warned that margins this year are likely to be at best flat, citing trade tensions and intense competition in China. The company is also cutting expenses in an effort to become leaner as it navigates weakening sales and margin pressure. Even with additional cash from the stake sale, management appears to be bracing for what could be a more challenging operating backdrop.
