What happened
After raising billions in an IPO of his arms maker, Strnad is directing private money toward Italy and has put €30 billion on the table for Delfin, which holds roughly one third of EssilorLuxottica SA.
People familiar say €30 billion looks like an opening shot that could be lifted, but it still trails an estimated €45 billion for Delfin's listed portfolio. Even then, a sale would require all eight family members to agree, something described as very unlikely in the current standoff.
Delfin would have preferred to keep the approach private, according to one person. Once it surfaced, EssilorLuxottica shares climbed more than 3% on Friday, extending recent gains.
Who Strnad is and why Italy
Strnad, 34, built his fortune at CSG NV, a defense group originating from a 1990s business his father started trading Soviet military stock. He has run CSG for over a decade, cutting agreements with governments and private companies around the globe - among them NATO countries like the US - while juggling sensitive relationships at home with figures such as Czech Prime Minister Andrej Babis, who criticized profiting arms makers during last year's election campaign.
CSG has integrated dozens of companies, often sorting out complex post communist ownership. The sector has surged since Russia's 2022 invasion of Ukraine, boosting Strnad's wealth to the top ranks in the European Union's east. He draws a clear line between CSG transactions and his personal investments, and with IPO cash he has moved fast: his first private buy post listing was a 14% Pirelli SpA stake that he has said he could increase, plus property deals in the Czech Republic and Poland and the purchase of Czech Ferrari and Maserati dealerships.
On Friday he said Italy offers "attractive long-term opportunities." He did not mention Delfin and added he would not comment on "specific matters." In the same statement he underscored "identity and roots," saying Italy has "valuable assets that deserve to be preserved and further developed over the long term."
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Inside the Del Vecchio stalemate
Delfin is owned in equal 12.5% slices by eight family members.
Years of friction about inheritance, governance, and the business's management have yielded prolonged feuds, aborted buyout attempts, and constant headlines. Earlier this year, the fourth son, Leonardo Maria, offered €10 billion to purchase the holdings of his siblings Luca and Paola, a move that would have made him Delfin's largest shareholder. The plan collapsed when lenders providing financing asked for guarantees tied to Delfin's investments, which the board denied.
In August, Leonardo Maria resigned as EssilorLuxottica's Chief Strategy Officer and has repeatedly faulted chairman and CEO Francesco Milleri for weak share performance. Milleri also chairs Delfin.
After the bid became public, Leonardo Maria cast the situation as a matter of national interest, saying, "My father's life work must remain an asset for Italy."
What this could mean for your portfolio
Here is the setup investors are trading: a cash rich buyer pushing into Italy, a €30 billion price that trails a near €45 billion public portfolio, and an ownership structure that makes closing hard. That mix helped lift EssilorLuxottica more than 3% on the day, with next moves tied to family alignment, any bid revisions and governance shifts.
The bottom line: eight equal owners must agree, and people close to the talks say that is very unlikely now. Still, even an opening bid can reset expectations around prized Italian assets and the companies Delfin anchors.
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