Colt’s Continuing Soap Opera

by
posted on January 8, 2016
gsagi2015_fs.jpg (2)

Majority stakeholder Sciens Capital Management didn’t produce $15 million by the Dec. 28, court-approved deadline for the famed gunmaker’s exit from bankruptcy protection. That might lead you to believe the fatal wound has been delivered, but Colt’s found alternative—albeit creative—funding.

Recent actions make it obvious Colt doesn’t wave the white flag, even when faced with legal and financial challenges that would bury its competition. The company even rolled out new guns, despite the adversity, which speaks volumes about the management’s ability to maintain “mission focus” and live up to the firm’s legacy of overcoming similar obstacles.

Sciens has until today to produce a portion of the funds or it will jeopardize the firm’s role in Colt. If the money doesn’t materialize, lenders have agreed to extend terms with the gun company and the owners of the building Colt occupies have also made concessions. That, of course, means the if this hurdle is cleared, Connecticut will be its home for some time.

A Sciens representative explained to Dow Jones Business News the reason for the delay is the manner in which the company works—each investment is funded separately and it takes time to secure that kind of backing. The company has until the close of business today to provide Colt its first $1 million installment.    

Latest

Guns rifle shotgun semi-automatic Century Arms GForce Arms Safety Recall
Guns rifle shotgun semi-automatic Century Arms GForce Arms Safety Recall

Century Arms And GForce Arms Issue Recalls

Century Arms and GForce Arms identified durability issues with BFT47 and GF991220-DLX guns, requiring immediate inspection and remediation.

Editor’s Choice: Kalashnikov USA Khaos

Kalashnikov USA now offers a non-NFA 12-ga. firearm called the Khaos based on the company’s gas-operated KS-12T semi-automatic AK-pattern shotgun.

Review: Henry X Model .410 Bore Shotgun

Henry Repeating Arms offers a unique and well-made option to fans of the .410 bore, with its lever-action, tube-fed X Model based off of the company's other lines of lever-action rifles.

Preview: SilencerCo Gas Defeating Charging Handle

Until now, gas blowback stinging the eyes of those shooting suppressed AR-15s has been a fact of life, but SilencerCo designed its Gas Defeating Charging Handle (GDCH) to prevent watery, stinging eyes from dampening any range experience.

The Smith & Wesson Governor: A Versatile Z-Frame Revolver

When Smith & Wesson introduced the Governor in 2011, the concept of a revolver capable of chambering shotshells wasn’t groundbreaking. The new entry from a legendary maker, however, quickly caught media attention at the SHOT Show that year and for some good reasons.

Rifleman Review: CrossBreed Hybrid ST2 IWB Holster

Watch this American Rifleman Television segment of "Rifleman Review" from 2020 to learn more about the CrossBreed Holster's Hydrid ST2 inside-the-waistband holster line.

Interests



Get the best of American Rifleman delivered to your inbox.