"The Czechoslovak Group (CSG) has acquired a 70% stake in the Italian small-caliber ammunition manufacturer, Fiocchi Munizioni, valued at several hundred million euros," said CSG owner Michal Strnad to Reuters agency, adding that CSG is looking for further acquisitions.
Strnad, who is the sole owner of CSG, told Reuters agency that the company Fiocchi will contribute nearly 2.5 billion crowns (108.7 million dollars) to CSG's earnings before interest, taxes, depreciation, and amortization (EBITDA) this year.
"For more than three years, we have been looking for a small-caliber manufacturer that would complement our larger-caliber portfolio," Strnad said in an interview with Reuters. "They focus more than 80% on the civilian market, and that's where our added value is, where we can grow and expand further business in the defense sector."
CSG is a significant supplier of military equipment, a portion of which is directed to Ukraine. The group also includes companies producing aviation and railway technology and the heavy truck manufacturer Tatra.
Strnad stated that CSG is exploring several acquisition targets in Western Europe and the United States, which may include ammunition production or related manufacturing.
You can read the full article from Reuters agency here.