On Dec. 18, 2023, Colt CZ Group announced it has entered into an agreement with CBC Europe to purchase 100 percent interest in Sellier & Bellot, one of the oldest engineering firms in the Czech Republic and ammunition manufacturer making steady inroads in the U.S. market. The transaction includes cash in the amount of $350 million and the issue of new Colt CZ common stock that will lead to CBC Europe holding a 27 to 28 percent stake in the Colt CZ Group share capital. Pending regulatory approval, the contract is expected to close sometime in the first half of 2024.
“We are proud to welcome one of the oldest and most important producers of small-caliber ammunition, Sellier & Bellot, to Colt CZ Group,” said Jan Drahota, CEO and chairman of the Board of Directors of Colt CZ Group. “This acquisition fits into our long-term strategy to expand not only in our core segment of small arms, but also in related areas, with ammunition being a natural complement to our products. We look forward to working with the management of Sellier & Bellot, its employees, partners and customers, as well as the new opportunities that the connection with Sellier & Bellot will undoubtedly bring to our entire group. We are pleased that CBC believes in our story and our strategy and is to become the second-largest shareholder of Colt CZ Group.”
Sellier & Bellot products have been manufactured under its trademark since 1825. The company’s line includes a wide range of hunting and sporting ammunition and components for pistols and revolvers, rifles, shotguns and rimfire cartridges. The firm is also a major supplier of small-caliber ammunition to military and law-enforcement customers worldwide and has approximately 1,600 employees. Its main production facility in located in Vlašim, Czech Republic.
“The successful contribution of one of CBC Global Ammunition Group’s flagship companies to Colt CZ Group in exchange for a significant shareholding marks the starting point of an impactful strategic collaboration,” said Fabio Mazzaro, CFO of CBC Global Ammunition LLC. “We are convinced of Colt CZ management’s long-term vision and believe the transaction will lead to remarkable value creation between the ammunition and firearms segments. Our subsidiary Magtech Ammunition will continue to serve as the dedicated sales entity for Sellier & Bellot products in the United States. This ensures exceptional customer service and reliable distribution to further preserve Sellier & Bellot’s trajectory of growth in the most relevant ammunition market.”
