Beretta Holding launches offer to raise stake in Sturm Ruger
Tweet
Share
E-mail
A visitor holds the new Beretta PMX 9 mm sub-machine gun (SMG) that is displayed at the 20th Paris Milipol, the worldwide exhibition in Villepinte, near Paris, France, November 21, 2017. REUTERS/Benoit Tessier/File Photo
ROME, Sept 17 (Reuters) - Beretta Holding, the owner of historic Italian gunmaker Beretta, has launched an offer to more than double its stake in U.S. sporting firearm manufacturer Sturm, Ruger & Co. as part of a strategic partnership the two firms agreed in May.
Beretta Holding is offering $44.80 per share, a premium of around 21% versus Wednesday's closing price, to secure up to 25% of Sturm Ruger from a current stake of 9.93%.
The additional investment will cost around $108 million, it said. The offer runs until October 15 and is not subject to reaching a minimum threshold or to any financing condition.
Chairman and CEO Pietro Gussalli Beretta said the investment in Sturm, Ruger - the only publicly listed firm in Beretta Holding's portfolio of around 50 companies - was "a concrete step toward strengthening our presence in the United States, the world's largest market" for firearms.
The launch of the offer follows Wednesday's announcement by Sturm Ruger that applicable regulatory conditions under its previously announced cooperation agreement with Beretta Holding have been satisfied.
(Reporting by Alvise Armellini, editing by Gianluca Semeraro and Keith Weir)
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Hope fading for new Boeing deal during US-China summit, sources say
- Factbox-OpenAI data breach latest in long list of hacks in Australia
- Bonds shaky, oil eases off highs amid trade, peace talks
Create E-mail Alert Related Categories
ReutersSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
