Smith & Wesson Finalizes Acquisition of Crimson Trace

CRIMSON_TRACE_BLACK_sm-920x354

In late July we reported on Smith & Wesson working on a deal to buy Crimson Trace for $95 million dollars. On August 29th Smith & Wesson announced that the deal has gone through, Crimson Trace is now theirs. The cash deal gives Smith & Wesson a new platform to develop a line of electro-optics with instant brand recognition bypassing hurdles in proving a product to the industry.

Smith & Wesson has also announced a conference call and webcast to discuss the first quarter of fiscal 2017’s financial and operational results. In the press release that was issued the mention of “forward-looking statements” was made with no clear commitment to answering any real questions about the new merger.

I could speculate all day about what this might mean for the Amercian gun manufacturing giant but it would be pointless. I expect there to be quite a few new innovations coming out of Crimson Trace and more factory laser bearing handguns coming from Smith & Wesson. The real question what will this do to the relationship between Kimber and Crimson Trace, does this mean that we are going to see OEM partnerships with Crimson Trace dry up? I am going to wager a guess and say that that is a strong possibility.



Patrick R

Patrick is a Senior Writer for The Firearm Blog and works in the shooting sports industry. He is an avid recreational shooter and a verified gun nerd. With a lifelong passion for shooting, he has a love for all types of firearms, especially handguns and the AR-15 platform. Patrick may be contacted at tfbpatrick@gmail.com.

The above post is my opinion and does not reflect the views of any company or organization.


Advertisement

  • BattleshipGrey

    I’ve been wondering if S&W would use this as a way to snub out the competition, but if I had to guess, I’d say no. As long as those partnerships make money, I’d guess they’ll keep business as usual. If S&W runs Crimson Trace into the ground, their reputation will take a hit for ruining an already well established company, doubly so if it appears it was to boost their own name and limiting options for competing products.

  • Marco Antonio Gonzalez

    What is an Amercian industry?

  • TechnoTriticale

    re: …does this mean that we are going to see OEM partnerships with Crimson Trace dry up?

    With CT’s early patents starting to expire, this S&W acquisition can’t be anything but welcome news to CT’s competitors, who at the very least are going to get more serious OEM consideration than they might have previously.

    A key canary in the mine will be new client-specific products with unique form factors, like the Kimber Solo, which had a day zero CT laser solution. Will only S&W products get day zero CTs at some point?

    Not sure what S&W thinks they are doing here.

  • Pepper Martin

    I have been trying to post a negative review on the CT website for 2 days to inform customers of potential problems with their LG-426 Front activation model for SIG P226. they seem to have shut down customer comments on this item.

  • Pepper Martin

    the problem with corporate merges and acquisitions is that they also assume debts and obligations. the drive becomes to make profit as soon as possible instead of enhancing quality and design. after all is said and done the few at the top get richer and the workforce gets poorer and the product gets cheaper. then they sell the whole mess to China.