Shortly after rumors surfaced that the CZ Group, or CZG, was looking to acquire Colt’s Manufacturing, CZ has confirmed that they are officially going forward with the decision.
“We are very pleased with another important milestone in the history of the CZ brand,” said CZ in a brief statement. “Our parent group CZG has agreed on purchase of the American small arms manufacturer Colt. After the completion of the transaction, the legendary Colt brand will become the new sister company of CZUB.”
The acquisition of Colt by CZ followed a due diligence period where technical experts and assayers made sure that the buyout price was fair. CZ must have decided that it was a good deal, hence this announcement.
The first statements have been making the rounds on social media outlets and CZ fans can barely contain themselves. Still, some Colt aficionados have shown concern about a foreign entity picking up the American legend.
Still, practically everyone agrees that it’s better for a gun company to come to Colt’s rescue — especially a company as aggressive as CZ — rather than some investment firm that may or may not have Colt’s or gun owners’ interests in mind.
Colt ran aground again in 2020 following years of financial problems, poor leadership, and a renowned reputation for its inability to read the market. While people across the country — and around the world — love Colt, it hasn’t seemed like it was very mutual.
Hopefully, with CZ’s help, Colt will finally be able to respond to its own customer base and return to its position as an American icon, here and abroad.
It will also be interesting to see how the new Colt develops its catalog and portfolio in the coming months and years. While both CZ and Colt are popular, established brands in the gun industry, the two companies make fairly different kinds of products.
This is probably a good thing since it will keep the two sister companies from competing with each other. CZ specializes in modern handguns and traditional rifles and shotguns, while Colt mainly focuses on classic handguns and modern sporting rifles.
Even the small number of products that both companies make that overlap target different market segments and price points, such as Colt’s famous 1911 pistols and Dan Wesson’s boutique and semi-custom handguns. All that’s to say that this combination has a lot of promise.
Let us hear your thoughts in the comments.