Hedge Fund Whitebox Places Big Bet on Gunmaker Remington

Discussion in 'Wall St. News' started by dealmaker, Nov 12, 2019.

  1. dealmaker

    dealmaker

    Exclusive: Hedge Fund Whitebox Places Big Bet on Gunmaker Remington (Reuters)
    (Reuters) –Whitebox Advisors LLC, a credit-focused hedge fund, has been quietly capitalizing on Wall Street’s ambivalence toward gun manufacturers by replacing some banks as a lender to Remington Outdoor Company. Whitebox, whose assets under management have grown from $2 billion to $6 billion in the last six years, became a major lender to Remington this year, according to people familiar with the transactions that allowed it to build its position.
     
  2. They

    They

  3. destriero

    destriero

    I train all sorts of clients in intro and advanced carbine courses and I know a lot about the current iteration of Remington. Marlin's sales are down on the order of 20%. Same goes for Bushmaster (ARs and ACR) and DPMS. They will absolutely be gone within two years. They stopped/suspended production of their Para-clone double stack 1911s and the single stacks aren't selling well, but I don't have numbers on those.

    The Remington Defense R5 RGP is state of the art, but they aren't selling any to mil or LE, and their promise to market to civilians in 2015 never came to fruition.

    Trump opening export markets won't help... it will simply allow Whitebox to throw good money after bad.

    They are doomed. This assumes no change to the political environment. God help them in 2021.
     
  4. Overnight

    Overnight

  5. Remington= great brand.............................................................
     
  6. Sig

    Sig

    The ultimate irony is that a gun manufacturer is doomed as along as there is a gun friendly political environment, but a great investment if there is a gun control friendly environment. I wonder if they're smart enough to actually bankroll politicians who are against their product, or at least campaign against their opponents.