The Czech arms manufacturer announced in a statement Monday that Czech arms manufacturer Ceska Zbrugovka Group (CZG) has finally acquired US arms manufacturer Colt.
Ceské Zbrojovka bought one hundred percent of the shares of Colt’s Manufacturing Company in the United States and its parent company in Canada, Colt Holding, for $ 220 million in cash and 1.1 million new treasury shares.
The statement said that the Czech company had received approvals from the relevant US, Canadian and Czech agencies in recent months.
“This acquisition has created a strategic alliance between CZG and Colt, which will create a number of new and important opportunities for us. I am confident that this transaction will be very beneficial to CZG,” the statement quoted Lubomír Kovarík, President of CZG. According to him.
Through this transaction, CZG gained new production and order capabilities in the United States and Canada. The armed forces of both countries have used Colt-branded revolvers for a long time.
“We are very happy to join forces, which opens up significant growth opportunities for both parties,” said Denise Philo, Colt’s President and CEO.
The Colt brand became known worldwide for the revolver developed by founder Samuel Colt in the early 19th century. Looking back on 175 years of history, the company is also an official supplier to the US Army and Canadian Forces.
The CZG Group, formed through the privatization of a former Czech arms manufacturer headquartered in Uherski Brod, South Moravia, is one of the largest small arms manufacturers in Europe. Its turnover last year was 6.8 billion crowns, up 14.6 percent year-on-year. The Czech company sold a total of 467,463 small arms guns last year, an increase of 24.9 percent.
After the acquisition of Colt in the United States, CZG has more than 2,000 employees in the Czech Republic, the United States, Germany and Canada.
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