PSA Buys Remington Ammo Business for $65 Million

[Sniper 6,372]

Times must be good at PSA, the big rush the last few months have filled their pockets with cash!

...."Firearms maker Remington Outdoor Co. has agreed to sell its ammunition business out of bankruptcy to South Carolina-based investment firm JJE Capital Holdings LLC for $65 million plus the assumption of liabilities, subject to better offers.

The JJE offer came in the form of a stalking-horse bid, setting a floor on the sale price for Remington’s ammunition business, which the company has been marketing while in chapter 11. Remington filed for bankruptcy protection in July and has been open to selling its ammunition and firearms...

https://www.wsj.com/amp/articles/bankrupt-remington-gets-65-million-offer-for-ammunition-business-11599680366

[Krdshrk 3,877]

They've grown exponentially in the past few years.  Good for them.

[eyeinstine 241]

Im a little irk'd with them. Not enough to make me not purchase from them though..

A kit i bought 8 months ago for 350$, is now on 'sale' for 499.99..   I highly doubt they had much of an increase in production cost, definitely not the 50% increase in the selling price.. They're taking good advantage of the current situations and pulling in a much higher margin... But im a business man too, so i get it.. i guess

 

 

 

[Handyman 5,682]

2 hours ago, Sniper said:

Remington filed for bankruptcy protection in July and has been open to selling its ammunition and firearms...

If they sell those, what's left? Apparel?

[The_Matrix 105]

25 minutes ago, Handyman said:

If they sell those, what's left? Apparel?

Toilet paper.

[W2MC 1,699]

25 minutes ago, Handyman said:

If they sell those, what's left? Apparel?

Higher markup than firearms...

[Sniper 6,372]

2 hours ago, eyeinstine said:

A kit i bought 8 months ago for 350$, is now on 'sale' for 499.99..   I highly doubt they had much of an increase in production cost, definitely not the 50% increase in the selling price.

They're probably having a tough time sourcing materials from China, just like everyone else. Be glad it isn't double what you paid for it,  just like how ammo has jumped up.

Have you been to the grocery store lately?

[eyeinstine 241]

30 minutes ago, Sniper said:

They're probably having a tough time sourcing materials from China, just like everyone else. Be glad it isn't double what you paid for it,  just like how ammo has jumped up.

Have you been to the grocery store lately?

I hear ya,,, my guess is they split the difference or so... 20% increase production costs/30% additional profit..  Its all good.. Im well armed and dont really need anything else, so ill wait it out..

 

Grocery store hasnt been bad for me; but im cheap and/or poor so i mostly buy neccessaties and on sale items only...

 

What area of commerce that is hitting my hard is lumber and building products!  Pressure treated lumber is up 300-400%! Its INSANE.. Cant find materials, and when you do, thats the price increases. Lost/postponed a few projects with customers becuase of the crazy materials situations...