Smith & Wesson Brands, Inc. has announced that it plans to divest the Thompson/Center Arms brand, stating in part, “This decision is part of the Company’s broader strategic plan that will focus on its core Smith & Wesson brands.”
At this time, a buyer for the Thompson/Center Arms brand has not been identified. Smith & Wesson has indicated that the divestiture should not have a deep financial impact on its first quarter fiscal year results. Furthermore, the company said this decision will not result in a workforce reduction.
The President and CEO of Smith & Wesson Brands, Inc., Mark P. Smith, said:
“Thompson/Center is a beloved hunting brand with a longstanding heritage, and we are committed to ensuring a smooth transition. Thompson/Center Arms’ loyal consumers should rest assured that they will continue to receive the world-class firearms, accessories, and customer service support that the brand has been known for since its founding in 1965. We remain fully committed to the hunting and long-range shooting market, and with this divestiture we will be able to now focus on these categories under our iconic Smith & Wesson brand. Additionally, this will allow us to immediately redirect manufacturing capacity to increase overall production volumes, allowing us to gain additional market share while simultaneously increasing profitability.”