Smith & Wesson Completes Spin-Off of American Outdoor Brands

by
posted on August 27, 2020
** When you buy products through the links on our site, we may earn a commission that supports NRA's mission to protect, preserve and defend the Second Amendment. **
sw-split.jpg

Smith & Wesson Brands has completed the previously announced spin-off of its outdoor products and accessories business.  Smith & Wesson Brands will continue to be publicly traded on Nasdaq under the ticker symbol “SWBI,” but the spin-off company, American Outdoor Brands, will begin trading this morning on NASDAQ under the symbol “AOUT.”

Smith & Wesson has historically offered a variety of firearm and law-enforcement accessories, but its market share increased significantly in 2014 when it purchased Battenfeld Technologies for $130 million. The move brought some big brands under the corporation’s roof, including Tipton, Wheeler Engineering and others. Knife manufacturer Taylor Brands—which includes Schrade—was added to the stable later, along with Crimson Trace (for $95 million) and LaserLyte.

The recent spin-off distribution was approved by the board of directors late last year. “There have been significant changes in the political climate as well as the economic, investing, and insurance markets since we embarked upon what we believe have been our very successful diversification efforts,” Chairman of the Board Barry M. Monheit said at the time. “We believe that separating into two independent public companies will allow each company to better align its strategic objectives with its capital allocation priorities.”

The move provides each SWBI common stockholder received one share of AOUT common stock for every four shares of SWBI common stock held as of the record date. No action or payment was required by stockholders of SWBI to receive the new AOUT shares.  Stockholders who held SWBI common stock as of the record date will receive a book-entry account statement reflecting their ownership of the new AOUT shares or have their brokerage account credited with the new AOUT shares.

The spin-off has been structured to qualify as a tax-free distribution to SWBI stockholders and SWBI for U.S. federal income tax purposes.  SWBI stockholders are urged to consult with their tax advisors with respect to the federal, state, local, and foreign tax consequences of the spin-off.

Latest

Gotw Traditions G3 Pro Web
Gotw Traditions G3 Pro Web

Gun Of The Week: Traditions Outfitter G3 Pro

Join American Rifleman staff in this video to get a close look at a single-shot rifle design oriented toward today’s modern hunter, particularly those in states where straight-wall cartridges have been legalized for hunting.

The Armed Citizen® Sept. 12, 2025

Read today's "The Armed Citizen" entry for real stories of law-abiding citizens, past and present, who used their firearms to save lives.

Sellmark Ranch Opens, Offers Hunting & Shooting Opportunities To The Public

Sellmark Corporation, the parent company of several notable firearm industry brands, opened its 6,800-acre ranch to the public, which provides dedicated hunts, mile-long shooting ranges and more.

CZ Recalls All-American Trap Combo Shotguns

CZ-USA has identified a manufacturing defect affecting the barrel of certain CZ All-American Trap Combo shotguns.

I Have This Old Gun: Japanese Type 94 Pistol

Among the pantheon of World War II military sidearms, the Japanese Type 94 stands out for a number of undesirable reasons. Aside from its ungainly look, many regard it as one of the most dangerous firearms ever made.

New For 2025: GForce Arms 12Hammer

The latest option in the diverse lineup of GForce Arms shotguns is the 12Hammer, an AR-style platform chambered for 12-ga. shotshells that feeds from detachable box magazines.

Interests



Get the best of American Rifleman delivered to your inbox.