Sturm Ruger and Beretta end proxy fight with ownership deal
Updated
Updated · The Wall Street Journal · May 8
Sturm Ruger and Beretta end proxy fight with ownership deal
16 articles · Updated · The Wall Street Journal · May 8
Beretta gains a path to two board seats and, after US government approval and a tender offer, potential ownership of up to 25% of the Connecticut-based gunmaker.
Ruger said the agreement includes a $44.80 floor price for shares Beretta may buy and a standstill limiting what the Italian company can do with them.
Chief executive Todd Seyfert said avoiding a costly annual-meeting battle lets Ruger refocus on profitability and growth while keeping its US manufacturing, sales base and brand identity.
Is Beretta’s deal a true partnership, or a three-year pause before a full takeover of the American gunmaker?
How will a national security review affect a foreign firm buying into America's largest gunmaker?