GUN DPMS Acquired By Cerberus Capital Management Affiliate

Discussion in 'On Topic' started by TL1000RSquid, Dec 14, 2007.

  1. TL1000RSquid

    TL1000RSquid ΜΟΛΩΝ ΛΑΒΕ

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    So now they own Bushy, Remington, and DPMS, rumor has it their in talks to buy 2 other manafactuers to.

    DPMS Acquired By Cerberus Capital Management Affiliate

    St. Clour, Minnesota, DPMS, a leading supplier of AR15 based rifles, parts and accessories announced today that its assets have been acquired by an affiliate of Cerberus Capital Management, L.P.

    Randy Luth, DPMS founder and President, remarked, "We were looking for a partner that could enhance our expertise in operations and further develop our sales and marketing capabilities. Cerberus is a partner that can help us in those areas and provide the financial and operational resources required to expand our business. We look forward to working with them. After starting this business 21 years ago, I couldn't be more excited about our prospects for the future, both in terms of the growth we believe we can achieve and the level of satisfaction and value we can provide to our customers."

    In connection with the transaction, Mr. Luth will remain President of the newly formed DPMS Firearms, LLC and will continue to oversee the strategic and operational aspects of DPMS. Added Mr. Luth, "I would like to thank our employees, first and foremost. Their hard work, and the support of our dedicated customers, has brought us to where we are today. As we look forward, we see increased interest in our new calibers, based on the proven DPMS 'LR' rifle platform. With our technical expertise and the commitment of our new owners, we intend to broaden the breadth and depth of our rifle and accessories offerings to current and new markets. We will continue to provide not only great value to our loyal customers, but also the high level of customer service we are known for."

    The March Group, a private investment banking firm based in Nashville, TN, acted as financial advisor to DPMS. Principal Brantley Kemp was responsible for managing the transaction and advising DPMS on its strategic alternatives.

    About DPMS Firearms, LLC

    Headquartered in St. Cloud, Minnesota, DPMS Firearms, LLC manufactures and distributes a complete line of AR15 based rifles and components, as well as rifle platforms in other calibers. DPMS systems are in use by law enforcement agencies, military personnel and civilians worldwide, including the U.S. Border Patrol, security agencies in Iraq, the Jordanian army, America's top competitive shooters and big game hunters.
     
  2. mattsb2000

    mattsb2000 OT Supporter

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    Is this good or bad?
     
  3. [DWI]

    [DWI] Master of Nothing

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    :dunno: yet

    under a capitalist market, competition is usually good and monopolies are normally bad.
     
  4. mattsb2000

    mattsb2000 OT Supporter

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    Ah didn't think about that.
     
  5. TL1000RSquid

    TL1000RSquid ΜΟΛΩΝ ΛΑΒΕ

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    Thats the million dollar question, so far it looks like its good, Remmy's putting out the bushmaster varmint rifle, it would be nice to have a large company with big bank account behind the gun lobby.
     
  6. PanzerAce

    PanzerAce Active Member

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    maybe they can bump up their QC issues now.
     
  7. [DWI]

    [DWI] Master of Nothing

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    that is a nice thing, but I'm a little worried that like remmy putting out bushmaster rifles that there will be less diversity in design and type on the market place and it won't matter who made your rifle it will all be the same thing.

    Now if they keep all the development departments or at least focus each brand on a certain type of customer it could work.
     
  8. TL1000RSquid

    TL1000RSquid ΜΟΛΩΝ ΛΑΒΕ

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    Have to wait and see, with AR's theirs only like 3 companies that make the actual receivers and stuff, and thats not Remingtons market so no big deal they're just selling rebadged bushy's. I won't worry about that untill I see a Bushmaster 870.
     
  9. Thunderbear

    Thunderbear Yggdrasil's Forester.

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    Interesting name for a company.
     
  10. Soybomb

    Soybomb New Member

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    So far they seem like they're pretty well behaved. I like the idea of having big money behind "assault weapons" actually. While the firearms market still isn't actually big money, I like to think that legislation that would take a portion of the big hell hound's lunch might get them fighting on our side.
     

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