M&A
confidence high
sentiment positive
materiality 0.60
Olin completes acquisition of AMMO small-caliber assets for $55.8M; sees $10-15M first-year EBITDA
OLIN Corp
- Adjusted cash consideration of $55.8M for AMMO, Inc.'s small caliber ammunition assets, including a 185,000 sq ft facility in Manitowoc, WI.
- Transaction funded from available liquidity; expected to be immediately accretive to shareholders.
- First-year adjusted EBITDA of $10-15 million including synergies; fully integrated run-rate of $40 million annually.
- Acquisition furthers Winchester's bolt-on strategy; expected payback of 1.5x adjusted EBITDA by year three.
- Manitowoc facility will focus on high-margin specialty calibers, while legacy plants concentrate on high-volume products.