CZG firearms manufacturer from Czech Republic confirms acquisition approvals of Colt Canada
Česká zbrojovka Group SE (“CZG” or “the Group”; PSE: CZG) firearms manufacturer of the Czech Republic announced on May 24, 2021, that, after securing all necessary regulatory approvals from the U.S. and Canadian authorities, it has successfully closed on its acquisition of 100% of the equity interest in Colt Holding Company LLC (“Colt”), the parent company of the U.S. firearms manufacturer, Colt’s Manufacturing Company LLC as well as its Canadian subsidiary, Colt Canada Corporation.
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Česká zbrojovka Group SE (“CZG” or “the Group”; PSE: CZG) announced on May 24, 2021, the official acquisition of Colt Canada. (Picture source CZG)
CZG and Colt are confident that the merger will bring significant operational, commercial, and R&D synergies for the combined business, which generated Pro-forma aggregated annual sales in excess of USD 570 million in 2020 and which has more than 2,000 employees in the Czech Republic, the United States, Canada, and Germany.
“With this acquisition, we have created a strategic relationship between CZG and Colt, which will bring significant opportunities for the group. We will focus on continuing to provide high-quality products to our customers in a seamless manner as we harness the many synergies generated by this acquisition. We are confident that this combination will create value for our customers and shareholders alike and strengthen these iconic brands,” stated Lubomír Kovařík, Chairman and President of CZG. “This merger also confirms our commitment to the North American market which is an integral part of our growth strategy,” he added.
Thanks to this acquisition, CZG gains further production capacity and positions itself to become a leading firearms manufacturer and a key partner globally for military, law enforcement, and commercial customers.
“Colt is pleased to join forces with CZG. We are proud of our heritage and believe that the strength of the combined businesses and the many synergies created by the merger will enable us to honor our roots while also securing the future of the Colt brand. We look forward to continuing to deliver our high-quality products while also investing in innovation and new product offerings in the near future. We believe in the successful connection of our corporate cultures, the proven track record of our teams and the complementary nature of the CZ and Colt brands,” stated Dennis Veilleux, President, and CEO of Colt.