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Market Report Capstone Partners, a middle market investment banking firm, compiled a report on the firearms industry. Based on 2021 data, the Tactical Industry Update (Consumer, Law Enforcement, and Defense) showed the industry experienced significant growth throughout the pandemic, primarily driven by the Civilian Consumer segment as government-imposed lockdowns and safety restrictions led to an increase in demand for hunting and shooting sports equipment.

Pandemic tailwinds including the high demand backdrop in the civilian segment and the shift in firearm ownership demographics translated to elevated merger and acquisition (M&A) volume as strategics and private equity (PE)backed companies looked to enhance market share. The report features a question and answer section with James Sellers of the Sellmark Corporation discussing the growth of the industry, M&A trends, demand forecasts, and market positioning and strategy.

Headquartered in Mansfield, Texas, Sellmark manufactures and develops products for the civilian, military, and law enforcement markets and the company leverages sales by gauging shifts in consumer preferences to continually adjusting. "Strategics, financial investors, and lenders have reviewed an increase in the number of tactical, outdoor, firearms and ammunition deals in market during the last AmericanGunsmith.info/writers-guidelines Snail mail: American Gunsmith year.

They have noted a significant increase in company revenue, profitability, and margins, and expect similar performance trends in 2022. While less certain on projecting company financial trends in 2023 and beyond, many are increasingly expecting that consumer demand and retention will be more sustained and that a higher floor is emerging in the industry," said Capstone Managing Director Peter Bailey, the lead contributor in the newly released report. The report has some key takeaways.

Firearm companies serving consumer end markets have benefited from shifting firearm ownership demographics and record first-time gun purchases. Given the strong demand backdrop, Capstone expects merger and acquisition activity to continue at a healthy pace through year-end and into 2022 as buyers look to bolster market share.

Record outdoor participation rates during the pandemic are expected to translate to elevated demand as the current spike in sales is driven heavily by arise in first-time gun owners with increasingly diverse demographics. Higher levels of defense spending in the near-term will benefit firearm and ammunition manufacturers, especially those with military contracts.

Ammunition prices have soared due to nationwide shortages, unprecedented demand from the civilian market, record firsttime gun purchases, and rising raw material prices. Companies in our industry are monitoring the regulatory environment, with some moving to states that are more business friendly to firearms companies. M&A activity has increased year-over-year as strategics actively sought target companies with complementary product offerings and exposure to growing segments.

Buyers and investors are increasingly attentive to managing a portfolio of complementary brands which influences how they view various acquisition opportunities and respective fit. The complete report can be downloaded free at: CapstonePartners.com/insights/ tactical-december-2021 Remington and Rem Arms Remington Arms Company LLC was an American manufacturer of firearms and ammunition and is now defunct. The brand has split into two separate entities: guns and ammunition.

The firearm branch is now known as Rem Arms LLC (RemArms.com, a recently formed entity that acquired the Remington firearms division from the Remington Outdoors Company.

The previous Ilion Firearms Plant in New York is still listed and operational, however, the new plant in La Grange, Georgia is not up and running yet. Remington Firearms plans for the La Grange Plant to serve as their global headquarters and manufacturing facility. In late 2021, Georgia Governor Brian P.

Kemp announced that Rem Arms has a $100 million, five year development project employing over 850 people. "The state’s firearms industry is responsible for thousands of Georgia jobs and millions of dollars of investment in our communities," said Governor Kemp. "It’s a pleasure to welcome Remington Firearms, with its rich American history, to their new home and global headquarters in the Peach State.

I look forward to seeing the opportunities Rem Arms creates across west Georgia." "We are very excited to come to Georgia, a state that not only welcomes business but enthusiastically supports and welcomes companies in the firearms industry," said Ken D’Arcy, Rem Arms CEO. "Between the support we’ve received from the state and from or post a letter to Falls Church, VA 22041. For subscription questions or mailing problems contact American Gunsmith

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