It has been nearly a year since Czechoslovak Group, known as CSG, began an acquisition process that would bring ammunition manufacturers Remington, Federal, CCI, Speer and Hevi-Shot under the umbrella of the Prague-based arms conglomerate. These highly recognized names in the industry, collectively The Kinetic Group, were purchased for a whopping $2.225 billion in a deal that closed in late November with Minnesota-based Vista Outdoor.
CSG’s initial proposal to purchase The Kinetic Group came in October 2023 with an offer of $1.91 billion, increasing several times throughout the year while competing buyers threw their hats in the ring, including unsuccessful bids to purchase Vista Outdoor as a whole. The acquisition, however, had to overcome hurdles beyond finding the right price, as CSG’s bids came under fire early on by opposing suitors, the National Sheriffs’ Association, and even American politicians like Vice-President JD Vance, arguing that selling the ammunition giants to a foreign-owned company may not be in the best interest of the United States. CSG countered those concerns, explaining they are already a significant NATO supplier and currently work with multiple U.S. defense companies. Ultimately, the Committee on Foreign Investment in the United States concluded that no unresolved security concerns existed regarding the deal.
So, now that the proverbial dust has settled, what does the future look like for The Kinetic Group and Lonoke-based Remington Ammunition under its new ownership? Well, it looks pretty good, with CSG intent on investing in the iconic brand, according to David Stepan, investment director for international projects and managing director of CSG’s Ammo+ Division. In a recent interview, Stepan stated the primary goal with U.S. operations is to establish stability and provide leadership as CSG has an understanding of the ammunition business, highlighting that the acquisition is the best overall outcome for the existing Remington workforce as opposed to a private equity firm. That workforce includes The Kinetic Group’s approximately 3,800 employees across operations in Minnesota, Idaho, Oregon and Arkansas with around 1,000 employed at Remington’s Lonoke plant.
“It’s what the people who work at Remington deserve,” Stepan said.
CSG’s experience in the industry includes its ownership of ammunition manufacturer Fiocchi of America and global operations in the defense, munitions, vehicle and aerospace sectors. The company is owned by Czech entrepreneur Michal Strnad and operates plants in the Czech Republic, Slovakia, Spain, Italy, India, Great Britain and the United States, employing more than 14,000 worldwide.
The Kinetic Group, located in Anoka, Minnesota, is headed by CEO Jason Vanderbrink, who was promoted to the position after overseeing the company’s ammunition lines as senior vice president of sales and has been with Vista Outdoor since 2005. Stepan, who recently toured The Kinetic Group facilities, including Remington’s operation in Arkansas, says that the team will remain intact and that local management of Remington’s operations will also stay right where it is.
“The division was well run,” said Stepan.
CSG complements its global defense experience with demonstrated growth, with a 2024 half-year revenue report of $1.6 billion with profits totaling $288 million compared to $670 million in revenue and a total profit of $74 million in the same period a year prior.
Tomas Jandik has followed the acquisition from inception. A professor of finance and the Dillard’s Chair in Corporate Finance at the Sam M. Walton College of Business, Jandik recently stated that Remington and its employees would benefit greatly from CSG’s experience and leadership, adding that The Kinetic Group is now well positioned for growth. Jandik believes that Remington is now poised for greater oppertunity both domestically and in the global market under its new ownership.
Stepan says that Remington’s initial focus will be on production efficiency with investment toward modernization and maximizing the plant’s potential, including close relations with sister ammunition companies, sharing lessons, and developing best practices that can be applied across all brands.
“We are here to do business,” Stepan said.
Hopefully those running the show are opposite of those running the show at H-D.
“we are here to do business.”
compelling and rich.
So, the best performing .22LR manufacturer and the manufacturers of two of the best performing self defense rounds (Gold Dot and HST) are now owned and controlled by a foreign interest, who was formerly a Nazi state (1938-1945), which then turned to a communist state (1945-1989), and is now a “social market” economy (kind of a hybrid of socialism and capitalism, and employed throughout many European nations).
Great. Because outsourcing our jobs and our manufacturing has worked so well for us in the past, now we’re effectively outsourcing our best ammo, to ownership in a hybrid socialist state, where if they ever go full socialist it will mean that the state owns the means of production and therefore a socialist state will own all our great ammo brands and could, in a spat, decide to not sell to us anymore. Or if Putin decides he wants the Czech Republic back in his resurrected USSR, like Ukraine, then Putin gets to be in control of whether we can have any of the best ammo on the market.
Not feeling it.
Now’s the time to stack it high and stack it deep, friends. If you need the good stuff, buy it now while you can; it’s always been good advice but if there’s a “Trump Slump 2.0” in guns/ammo buying, prices may fall, and now is the time to buy a lifetime supply.
Hornady, Winchester, Corbon…problem solved.
“CSG complements its global defense experience with demonstrated growth, with a 2024 half-year revenue report of $1.6 billion with profits totaling $288 million compared to $670 million in revenue and a total profit of $74 million in the same period a year prior.”
Definitely proves that the USA is vibrant market for ammunition if it is plentiful and caliber available.
My guns are always hungry.
Easy conspiracy boys…over 90% of civilian ammunition in the world is sold here…cutting your nose off to spite your face is stupid. If you can’t sell commercial ammunition here you might as well quit making any. Besides, in wartime we nationalize ammunition companies and there’s no stopping that. Strnad is a Czech and they love guns…beats a Wall Streeter every time.
Buy whatever you want, but don’t mourn Blackrock…this is a good thing if you think rather than emote.
Then your ass it is, Unicorn… the guy is Czech, who got chopped up by NAZI s and knowcommunism is bad and I said IF we go to war we nationalize plants…hence Singer made 45s. He’s a better American than Biden voters. Going off half cooked is for SiGs…
Half cocked, that is…but cooked also works
“CSG countered those concerns, explaining they are already a significant NATO supplier and currently work with multiple U.S. defense companies.”
So, if all your friends are jumping off a bridge, you would do it too?
The Czechs know about commuinism? Putin has them on his list of countriues to be re-absorbed into the new russian empire. These wonderful Czechs are not the leading nation “supporting” Ukraine (which is a european war), depending on the US to make it all better (nor is any other EU nation).
Off loading your supply chain to foreign nations is Sun Tsu at his best. Do we really expect we can ramp up from offshoring to WW2 style industrial base, in 30 days, or so? (NOTE: the US had a large armament base in 1941 because we took money from nations at war, and built a strong manufacturing foundation.)
Just start producing accu tip slugs and ill be happy