BERETTA AMMO? HISTORIC GUN COMPANY BUYS GLOBAL AMMO MAKER

Joey Cheney | Coreware

BERETTA AMMO? HISTORIC GUN COMPANY BUYS GLOBAL AMMO MAKER

With nearly six centuries of gun-making experience under its belt, Beretta is finally taking the leap into ammunition production with the announcement Wednesday March 9th, 2022 that it finalized its acquisition of Ammotec. Looking to further divest itself from the firearms industry, Switzerland-based RUAG International agreed to shed its Ammotec holding, which generates nearly two-thirds of its small-caliber munitions sales to the civilian market on top of additional sales defense and law enforcement agencies. 

"We are taking the next step to withdraw from the defense-related business completely," said André Wall, CEO of RUAG International. "We are pleased to have found a renowned industrial partner for Ammotec in Beretta, who will take over all employees and the Thun site. With its industry experience and global presence, Beretta offers the best conditions to sustainably grow Ammotec's business activities for the benefit of customers and employees."

The move brings some 2,700 employees into Beretta’s fold – raising Beretta’s total to more than 6,000 worldwide – and adds ammunition production sites in Switzerland, Germany, Sweden, France, Australia, Hungry, Austria, and the United States. Beretta Holdings has also agreed to a minimum five-year deal to maintain operations at the Thun, Switzerland, production site, which boasts 400 employees.

For Beretta, the addition of Ammotec provides an expansion within the firearms industry without crossing over with any of its existing offerings that previously only really centered around firearms and accessories. Does this mean we can expect to see Beretta-branded ammo in the near future? Perhaps, but Beretta does now have existing lines to nurture. For the time being, both companies agreed to remain relatively mum on the details of the agreement.

Beretta’s acquisition of Ammotec was actually foreshadowed earlier last year when it was confirmed by the Swiss Federal Council, though the final sale is still awaiting regulatory approvals. RUAG brands included Rottweil, GECO, RUAG Swiss P, Norma, RWS, and Hirtenberger. With only some ammo brands falling under the Ammotec umbrella, the long-term fates of others are unknown at this time given RUAG’s desire to pull away from arms and ammunition production in general.