How a private Czech arms company grew from a small Central European country into a global player, leveraging massive deliveries to Ukraine and gaining customer trust, resulting in a spectacular debut on the Amsterdam Stock Exchange.
Millions of missiles, hundreds of vehicles – proof of production capacity
In response to Russia’s invasion of Ukraine in 2022, the CSG group played one of the most visible roles in the European defense industry. The Czech government, with the president’s overwhelming support, prioritized the development of the private company and sought to secure its supplies to Ukraine. The company has been excellent in fulfilling its commitments, a key factor in its enormous financial success. In recent years, the group and its subsidiaries have delivered, among other things:
- Approximately 4.4 million pieces of large-caliber ammunition (including 155 mm), based on own production and remanufacturing, as part of the Czech ammunition initiative directed to Ukraine.
- Hundreds of heavy equipment: T-72 tanks, BMP-1/BMP-2 infantry fighting vehicles, as well as modern artillery systems such as DANA M2, DITA or RM-70 Vampire.
Such a wide scale of deliveries was possible thanks to the production capacity and logistics of CSG – and this was the first reason trust of state customers to this company.
Photo from the CSG website
From post-Soviet magazines to a world leader
CSG grew out of a family business started in the 1990s by industrialist Jaroslav Strnad. It was his son, Michal Strnad, transformed the company into a modern, integrated defense holding company capable of competing globally. Thanks to its ability to modernize outdated equipment, consolidate manufacturers, and develop its own production lines, CSG gradually won markets and government contracts. When the war broke out, the company not only offered ready-made products – was able to quickly increase production capacity, which became a key reason for customers to purchase. The war in Ukraine is causing significant wear and tear on equipment, which must be quickly replaced. The company’s capabilities, logistical and engineering preparation, and the previously mentioned concerted support from the Czech government and president helped to fully utilize CSG’s capabilities.
Photo from the CSG company website
Trust of institutions and customers – entering the stock exchange
The scale of military deliveries and the reliability of contract implementation have become strong arguments not only for governments but also for financial investors. In January 2026, CSG conducted one of the largest initial public offerings (IPOs) in the defense industry in the world, listing shares on the stock exchange in Amsterdami.e. The offer included a total of up to 15.2% of the total share capital of the company, and at the issue price €25 per share The IPO brought €3.8 billion (approximately CZK 18.2 billion) and the company was valued at €25 billion. The share price jumped to around 34 €.
CSG’s debut was structured primarily as a) an issue of new shares and b) a sale of existing shares by the main owner. The majority of the available pool consisted of sale of existing shares, but only a fraction of the company was listed on the stock exchange. On the first day of trading, CSG shares gained even up to 32% above the issue price, which increased the company’s capitalization from the initial €25 billion to over €30–33 billion. This dynamic growth demonstrates not only investor demand but also that the market views CSG as an example of a defense industry with real fundamentals, rather than a purely speculative asset. Naturally, after such a successful debut, some investors decided to cash in on profits, and the shares fell slightly. However, they remain significantly above their debut price..
Photo from the CSG website
Why this debut is important
- Operational scale and trust – millions of missiles, hundreds of vehicles, the implementation of government contracts is not just a sale, but a product delivered and tested on the battlefield.
- Impact on reputation – global financial institutions got involved in the IPO, emphasizing their confidence in the business model.
- Successful debut – the dynamic increase in the opening price confirms the demand for shares and the growth potential.
- Strategic position – CSG not only meets military needs, but also builds long-term, stock market-funded global investment potential.
- Arms company As seen on the stock market, investors are looking for defense companies with a good reputation and valuation. Today’s geopolitical situation encourages them to pursue this pursuit.
Conclusions
The history of CSG is an example of how ability to act quickly in crisis conditions and the implementation of scalable government contracts can become the foundation for huge financial success. From ammunition for Ukraine, through the confidence of financial markets, to the phenomenal entry on the stock exchange – this process shows that geopolitical needs can be transformed into market capital and a lasting reputation. It’s also important that, like Western arms companies, this is a company that is entirely privately owned. The state doesn’t interfere, only helps. I can’t imagine this in Poland, but I hope I’m wrong and our governments will support Polish companies during contract negotiations, for example, with Ukraine. But this requires good relations, not the implementation of unwise ideas from both Confederations. If the Confederation were in power in the Czech Republic, the success of such a company would be impossible..
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