Czech gunmaker CZG buys Colt in cash and stock deal • Hacker News Board

Re: Czech gunmaker CZG buys Colt in cash and stock deal

#21

Post by Spooky23 » Fri, Feb 12, 2021, 5:00 PM UTC

csunbird wrote: post #4

I do not know much about how good Colt is doing, but isn't 220mil plus 18mil in stocks a bit cheap?

I'd argue it's still a little high, most of these companies are on the wane.

Guns in the US are near saturation from a market perspective and regulatory changes will eventually kick the floor out. Time to cash out... It's like when Phillip Morris bought Kraft and General Foods in the 80s to spin them off later when tobacco regulation came.

Re: Czech gunmaker CZG buys Colt in cash and stock deal

#22

Post by suifbwish » Fri, Feb 12, 2021, 5:00 PM UTC

ed_blackburn wrote: post #5

Doesn't seem like a lot of money. Shame somebody didn't buy it and shutter it. Less guns in the world is better for everyone.

You have no idea how capitalist markets work apparently. If the DEA decided to buy up all the street drugs and burn them it would create a million new drug dealers overnight as the prices would spike. Less guns is not the solution. The solution is to round up all the humans and cut their thumbs off so they can’t use tools to kill each other.

Re: Czech gunmaker CZG buys Colt in cash and stock deal

#23

Post by bluedino » Fri, Feb 12, 2021, 5:00 PM UTC

Better than Remington’s fate: being bought out by Cerebus

Re: Czech gunmaker CZG buys Colt in cash and stock deal

#24

Post by mmaunder » Fri, Feb 12, 2021, 5:00 PM UTC

floren wrote: post #2

CZ makes damn fine guns, so this seems like one of the better outcomes--better than being bought by a maker of crap who wishes to apply a veneer of respectability through the Colt name.

Indeed. Their 17 HMR with varmint barrel is a whole lot of fun and really accurate. (Same caliber as a BB gun but with a lot more powder, in case you’re not a gun geek)

Re: Czech gunmaker CZG buys Colt in cash and stock deal

#25

Post by injidup » Fri, Feb 12, 2021, 5:01 PM UTC

DamnYuppie wrote: post #8

ed_blackburn wrote: post #5

Doesn't seem like a lot of money. Shame somebody didn't buy it and shutter it. Less guns in the world is better for everyone.

The dream and goal of every tyrant and despot ever is to reduce the martial capacity of their "subjects".

The dream of every gun nut is to imagine they live in a world where they gotta pack that go bag and ammo and head down to the Capitol to stop the steal.

Re: Czech gunmaker CZG buys Colt in cash and stock deal

#26

Post by SilasX » Fri, Feb 12, 2021, 5:01 PM UTC

LeonM wrote: post #13

csunbird wrote: post #4

I do not know much about how good Colt is doing, but isn't 220mil plus 18mil in stocks a bit cheap?

The billion dollar valuations of silicon valley startups may cloud your judgement a bit. 220 mil is a lot. Most companies won't be worth this much. Except for the US, guns are mostly sold to governments (policy, military) so the gun market isn't that large, and there is lots of competition.

But still, that means several of those highly-valued SV companies could afford to buy most gunmakers in existence...

Re: Czech gunmaker CZG buys Colt in cash and stock deal

#27

Post by dmix » Fri, Feb 12, 2021, 5:01 PM UTC

The CZ Scorpion EVO subreddit is one of the more active firearm ones on Reddit, not surprised here.

https://old.reddit.com/r/czscorpion/

Re: Czech gunmaker CZG buys Colt in cash and stock deal

#28

Post by nickthemagicman » Fri, Feb 12, 2021, 5:01 PM UTC

ed_blackburn wrote: post #5

Doesn't seem like a lot of money. Shame somebody didn't buy it and shutter it. Less guns in the world is better for everyone.

We've all grown so comfortable in modern America that we forget that default state of human nature is subjugation and repression and has been for thousands of years.

Modern America is a historical anomaly. The powerful aren't peaceful by choice.

It's the SECOND amendment in the constitution for a reason.

Re: Czech gunmaker CZG buys Colt in cash and stock deal

#29

Post by tshaddox » Fri, Feb 12, 2021, 5:04 PM UTC

DamnYuppie wrote: post #8

ed_blackburn wrote: post #5

Doesn't seem like a lot of money. Shame somebody didn't buy it and shutter it. Less guns in the world is better for everyone.

The dream and goal of every tyrant and despot ever is to reduce the martial capacity of their "subjects".

Lots of tyrants have implemented strict rules against theft as well. It’s really not a great argument on its own.

Re: Czech gunmaker CZG buys Colt in cash and stock deal

#30

Post by mrweasel » Fri, Feb 12, 2021, 5:05 PM UTC

SilasX wrote: post #26

LeonM wrote: post #13

Earlier quoted context omitted.

The billion dollar valuations of silicon valley startups may cloud your judgement a bit. 220 mil is a lot. Most companies won't be worth this much. Except for the US, guns are mostly sold to governments (policy, military) so the gun market isn't that large, and there is lots of competition.

But still, that means several of those highly-valued SV companies could afford to buy most gunmakers in existence...

Apple could just have bought the music industry when they launched iTunes. The value, and in some cases the profit, of tech companies are weird outliers in the business world.