Colt CZ closes acquisition of Sellier & Bellot

Uhersky Brod, South Moravia/Prague, May 16 (CTK) - Czech arms maker Colt CZ Group SE (Colt CZ) has closed the acquisition of ammunition producer Sellier & Bellot from CBC Europe S.a r.l. (CBC) for a combination of cash consideration of USD350m (almost Kc8bn) and a new issue of Colt CZ common stock, Colt CZ said today.

The total acquisition price equals USD703m (Kc16bn), excluding net debt of Sellier & Bellot.

"The completion of the Sellier & Bellot acquisition significantly strengthens our Group's position in the small-calibre ammunition segment and it is a natural extension of our scope beyond the production of small arms," Colt CZ board chairman Jan Drahota said.

Colt CZ announced the acquisition last December, after which it was waiting for approval from regulatory authorities in various countries.

CBC became a shareholder in Colt with a stake of approximately 27.71 percent. The new shares were issued today.

A CBC representative will take a seat on Colt CZ's supervisory board, while Sellier & Bellot CEO Radek Musil will become a member of Colt CZ's board of directors. "No further changes in the management of Sellier & Bellot are currently planned," Colt CZ said.

Colt CZ Group is one of the leading producers of firearms and ammunition for military and law enforcement, personal defence, hunting, sport shooting, and other commercial uses. It sells its products mainly under the Colt, CZ (Ceska zbrojovka), Colt Canada, CZ-USA, Dan Wesson, Spuhr, swissAA, and 4M Systems brands.

The Colt CZ group is headquartered in the Czech Republic and employs more than 3,600 people in its production facilities in the Czech Republic, the United States, Canada, Sweden, Switzerland, and Hungary.

The Ceska zbrojovka Partners SE group holds 54.5 percent in Colt CZ. Another 27.7 percent are owned by CBC, and the remaining 17.8 percent are publicly traded shares.

Sellier & Bellot, dating back to 1825, produces small-calibre ammunition. Its product portfolio includes a wide range of hunting and sporting ammunition and components for pistols and revolvers, rifles, shotguns and rimfire cartridges. Sellier & Bellot is also a major supplier of ammunition to military and law enforcement customers worldwide. The company has approximately 1,600 employees.

The CBC Global Ammunition LLC and CBC Europe companies belong to a group of companies internationally active in the ammunition sector. They include CBC Brazil, Magtech Ammunition, MEN, SinterFire, New Lachaussee and Fritz Werner.

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