🔫 Colt CZ consolidates its position on the American market!
The Czech arms giant Colt CZ Group SE $CZG.PR is once again expanding its presence in America. This time it acquires the American manufacturer of firearms components - Valley Steel Stamp Inc., for the amount of 59.5 million dollars. The acquisition has been approved by the Committee on Foreign Investment in the U.S. (CFIUS and closed earlier this week.

🏭 Why is this acquisition strategically key?
Valley Steel Stamp is a long-time supplier to Colt CZ, manufacturing frames, cylinders, spare parts and other components for small arms.

With this acquisition, Colt CZ will gain:
Full control of the U.S. production chain , higher margins on products in the U.S. market, and in-house engineering capability in the segment.

New management:
Long-time VSS CEO Steven K. Capshaw also takes over leadership of Colt's Manufacturing Company, which is expected to accelerate new product introductions and strengthen Colt CZ's presence in the U.S. This region already consists of nearly 44 % of the group's total revenue.

📊 Long-term expansion:
Colt CZ is no newcomer to the US and continues to expand its footprint:
In2005, it bought Dan Wesson, in 2021 it completed the takeover of Colt Holding Company, and now comes the next step that strengthens the manufacturing chain.

Per Q1 2024 the group reported record sales 5.5 billiondespite a challenging geopolitical context. Purchase VSS is a further step in improving its position among the world's largest small arms and ammunition manufacturers.

🌐 Colt CZ:
More than 3,200 employees worldwide

Production in 6 countries (Czech Republic, USA, Canada, Sweden, Switzerland, Hungary)

Brand Portfolio: Colt, Česká zbrojovka, Dan Wesson, Sellier & Bellot, swissAA, Spuhr, 4M Tactical, Colt Canada

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