Smith & Wesson Corp. has expanded its empire once again, announcing Wednesday that it has plans to acquire suppressor manufacturer Gemtech.
“Gemtech is widely recognized for producing some of the finest rifle and pistol suppressors in the market,” said James Debney, President and CEO of American Outdoor Brands, the parent company of Smith & Wesson.
“Gemtech’s strong product development capabilities, combined with our experience in brand management and our manufacturing expertise, will help us to efficiently develop both firearms and suppressors, minimizing our time to market for both product categories,” Debney continued.
While the sale price of Gemtech is not yet known, one has to imagine that Debney got a good deal on the Idaho-based can maker. Sales of silencers have been particularly sluggish this year as potential buyers await legislation, known as the Hearing Protection Act, to remove suppressors from the NFA naughty list.
There is not set date for the HPA to pass but the widespread belief that its enactment is imminent by a pro-gun Trump administration has caused a bit of a buying freeze for suppressors. Folks are willing to wait to pull the trigger on a can if it means they don’t have to jump through the extra NFA hoops and pay the dreaded $200 tax stamp. If ever there was a time to purchase a silencer company, now would probably be it.
“We view this acquisition as opportunistic, allowing us to enter the suppressor category, which resonates strongly with our core firearm consumer, at a time when the market is particularly soft,” noted Debney. “These elements combine to make Gemtech an excellent fit with our long term strategy.”
SEE ALSO: Important Hearing Protection Act Update!
Meanwhile, the upside for Gemtech is that they don’t have to worry about keeping the lights on and can now spend all their time doing what they love, making suppressors for the consumer, law enforcement, and military markets.
“Gemtech, the World’s Leader in Silencers, now has the backing of the most powerful company in the firearms industry: Smith & Wesson,” said Ron Martinez, President of Gemtech. “Combined with the outstanding companies of American Outdoor Brands Corporation, this strengthens the decades old team that is Gemtech.”
Smith & Wesson will complete the acquisition this summer using cash on hand. Martinez will still serve as Gemtech’s General manager.
About Gemini Technologies, Incorporated
Gemini Technologies, known as Gemtech, began as a group of leading designers with roots in the suppressor business going back to 1976. Gemtech’s world-class suppressors are in use with all branches of the U.S. military and are also in use by many special operations forces, military, and police around the world. Based in Eagle, Idaho, Gemtech is an International Organization for Standardization (ISO) 9001:2008 certified company and maintains effective rigorous quality assurance systems and processes. For more information visit Gemtech online at https://gemtech.com.
About American Outdoor Brands Corporation
American Outdoor Brands Corporation (NASDAQ Global Select: AOBC) is a provider of quality products for shooting, hunting, and rugged outdoor enthusiasts in the global consumer and professional markets. The company reports two segments: Firearms and Outdoor Products & Accessories. Firearms manufactures handgun and long gun products sold under the Smith & Wesson®, M&P®, and Thompson/Center Arms™ brands as well as provides forging, machining, and precision plastic injection molding services. Outdoor Products & Accessories provides shooting, hunting, and outdoor accessories, including reloading, gunsmithing, and gun cleaning supplies, tree saws, vault accessories, knives, laser sighting systems, tactical lighting products, and survival and camping equipment. Brands in Outdoor Products & Accessories include Smith & Wesson®, M&P®, Thompson/Center Arms™, Crimson Trace®, Caldwell® Shooting Supplies, Wheeler® Engineering, Tipton® Gun Cleaning Supplies, Frankford Arsenal® Reloading Tools, Lockdown® Vault Accessories, Hooyman® Premium Tree Saws, BOG POD®, Golden Rod® Moisture Control, Schrade®, Old Timer®, Uncle Henry®, UST™, and Imperial™. For more information on American Outdoor Brands Corporation, call (844) 363-5386 or log on to www.aob.com.