SOLD: Savage Arms Brand Sells for $170 Million
OutdoorHub Reporters 07.09.19
News broke Monday afternoon that Minnesota-based Vista Outdoor, Inc. sold the Savage Arms and Stevens firearms brands to a “financial buyer” for a total purchase price of $170 million. The announcement was shared by the company in a press release.
Selling the Savage brand is part of Vista Outdoor’s previously announced transformation plan, which outlined the intent to reshape the company’s portfolio by cutting costs, consolidating leadership, paying down debt, and divesting certain brands, including both its eyewear brands and firearms brands, in order to pursue growth in product categories where the company believes it can be market leaders.
“Divesting our Savage brand was a key aspect of our transformation plan,” said Chris Metz, Chief Executive Officer of Vista Outdoor. “While it was a difficult decision to sell such an iconic brand, I remain confident that this was the correct choice to help Vista Outdoor grow in those categories where we can have leadership positions. Savage is a fantastic business, and it deserves to continue to evolve into other firearms categories. At this time, however, we simply do not have the resources to transform Savage into the full-service firearms company that it deserves to be and, therefore, we determined the brand would be better off with a different owner. We’re excited to see Savage reach its full potential under new ownership.”
Savage was acquired by Vista Outdoor’s predecessor, ATK, in 2013. ATK’s sporting business – which included Savage, Bushnell, Federal and CCI Ammunition, and dozens of other hunt/shoot accessories brands, spun off in 2015 to become Vista Outdoor.
As the company now looks forward, the focus is on ammunition, hunting and shooting accessories, hydration bottles and packs, outdoor cooking products, and cycling/ski helmets and accessories.