Czech Conglomerate’s US Ammunition Acquisition Fuels Global Expansion Ambitions

Czechoslovak Group (CSG), the weapons conglomerate owned by Czech billionaire Michal Strnad, is poised for significant growth following its recent $2.2 billion acquisition of a Vista Outdoor Inc. unit, including the renowned Remington and Federal ammunition brands, Bloomberg reports.

This deal, finalized last month, catapults CSG to the position of the world’s largest small-caliber ammunition producer outside of China and Russia, according to David Stepan, a CSG board member and head of the company’s Ammo+ unit.

Stepan highlighted the strategic importance of the acquisition, emphasizing the burgeoning demand for ammunition driven by the ongoing war in Ukraine and increased global defense spending. The acquisition significantly expands CSG’s capabilities. Previously focused on artillery shells and combat vehicles in Europe, the company has seen its revenue more than triple in the past two years, largely fueled by the increased demand stemming from the conflict in Ukraine. The Vista deal has also boosted CSG’s global workforce to 14,000 employees.

However, CSG’s ambitions extend beyond this significant acquisition.