Hot News – Crosman Sold To Daisy

It has been announced today: Crosman sold to Daisy.

Here’s the announcement from Compass Diversified Holdings, the owner of Velocity Outdoor, the owner of Crosman Corporation…

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Compass Diversified Announces Sale of Crosman Air Gun Business​

APR 30, 2024

WESTPORT, Conn., April 30, 2024 (GLOBE NEWSWIRE) — Compass Diversified (NYSE: CODI) (“CODI” or the “Company”), an owner of leading middle market businesses, is announcing the simultaneous entry into a definitive agreement (the “Agreement”) and completion of its sale of Crosman Corporation (“Crosman”), the air gun division of its Velocity Outdoor, Inc. subsidiary, to Daisy Manufacturing Company (“Daisy”).

Crosman is a leading designer, manufacturer and marketer of air guns, accessories and related consumables sold under the Crosman, Benjamin, Game Face, LaserMax and Centerpoint Optics brands. For more than 100 years, Crosman has served as a pioneer of the air gun industry. Daisy is a designer, manufacturer and marketer of youth and adult air guns, accessories and related consumables sold under the Daisy, BSA, Red Ryder, GAMO and Winchester brands and is a portfolio company of BRS & Co.

Proceeds from the transaction will be used to pay down debt and for general corporate purposes.

Elias Sabo, CEO of Compass Diversified stated, “Our partnership with Crosman dates back to 2006 when we first acquired Crosman, and we are grateful for its history of contributions to both Velocity Outdoor and CODI. We believe Crosman’s sale to a recognized industry veteran in the air gun space positions it well for future success.”

Tom McGann, Chairman of Velocity Outdoor, commented, “On behalf of the Velocity team, I want to thank the entire Crosman team for their dedication over the years. We wish them nothing but continued success under new ownership.”​

Robert W. Baird & Co acted as exclusive financial advisor and Gibson, Dunn & Crutcher LLP acted as legal counsel to CODI. Kirkland & Ellis LLP acted as legal counsel to Daisy.

About Compass Diversified (“CODI”)
Since its IPO in 2006, CODI has consistently executed on its strategy of owning and managing a diverse set of highly defensible, middle-market businesses across the industrial, branded consumer, and healthcare sectors. CODI leverages its permanent capital base, long-term disciplined approach, and actionable expertise to maintain controlling ownership interests in each of its subsidiaries, maximizing its ability to impact long-term cash flow generation and value creation. CODI provides both debt and equity capital for its subsidiaries, contributing to their financial and operating flexibility. CODI utilizes the cash flows generated by its subsidiaries to invest in the long-term growth of the Company and has consistently generated strong returns through its culture of transparency, alignment, and accountability. For more information, please visit compassdiversified.com.​

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You can read the original Press release here Compass Diversified Announces Sale of Crosman Air Gun Business

So that’s it. Crosman sold to Daisy. There’s no announcement yet from BRS, the company that owns Daisy through its BRS Outdoor Sports Holdings subsidiary.​

The post Hot News – Crosman Sold To Daisy appeared first on Hard Air Magazine.

 

[Hateful McNasty]

There is something disturbing about Compass Diversified. Looking over the website tells you nothing, but it does disclose that all they do is acquire and then sell companies. From the twisted phrases in their above statement “About Compass Diversified” it appears that what this company does is buy companies at a low price and strip its value then resell it. I am afraid what might happen is Crosman will not have enough assets remaining to survive. I cannot understand Daisy’s role in all this, but if they are acquiring a stripped company what motivation do they have to keep it around in its original form? The name alone. What has happened in the past to other companies is the acquiring company keeps selling under the old name, but the products have been value engineered [made cheaper] and sold at prices that reflect the old quality not the new lower quality. Think Porter-Cable, etc. The production will be moved to a cheaper manufacturer. The old brand will eventually die, but not before the acquiring company has reaped a lot of profit off the name. I don’t know this is happening here, but it could explain the role of Compass Diversified. Very odd, overall.

Daisy roll in this ?? Like the rest just a holding company hor potato .. only say so is yes sir to schemes for profits to the holding company shareholders. .. lol

Ones these guys squeeze out all the profits they can and start to loose they sell it on to the next one with better hatchet men and accountants to get somthing the last guys missed ..


All about the he cheaper better product..

Cheaper for them to make and better profit for the shareholders .

 

[FL22]

I just want to throw this out there, it’s in stock at PA so they were made before all of this became official. 100 year anniversary, made in small batches, mostly by the same individuals something to think about. Oh, and they have it marked down to $299.

 

[Hateful McNasty]

Ya, but still it was under a holding company then as well. ..

These companies to these investment firms ate like the loose chick that was the pass around girl .. you get what you want from her and then hand her off to the next guy kind of thing .. ( till she gets knocked up by one unlucky dude )

 

[FL22]

Ya, but still it was under a holding company then as well. .

I concede to your point.

I suppose I was just being nostalgic, still one way or another the end of an era.

 

[Alandaledaniel]

That’s a good looking gun. I wonder how good it is in terms of quality parts and so forth. When a company starts going downhill it is often because new accountant and MBA types show up that only care about the next quarterly report. They are excellent at “value engineering” which means put plastic where metal used to be, reduce quality control, lay off the most senior employees [who get paid the most & have real pride in their work & the company], lay off support personnel [especially the older ones], reduce the cost of everything possible, don’t fix older equipment when it brakes & replace it with much cheaper equipment, reduce maintenance everywhere, stop training classes, etc, and, farm out pieces of the production process where possible. The result is a big jump in profits, especially quarter after quarter as the profit from cheaper everything builds. The stock value increases & the MBAs & Accountants collect their bonuses and start looking for higher paying jobs.

Then, the customer notices that pot metal has replaced aircraft grade aluminum, what was once polished is now rough, and the product is now very low quality for a premium price. Customer service has disappeared. Then the once proud company is gutted and goes into bankruptcy because the customers have figured out the products are junk. Thereafter, the name is all that remains and even that just fades away.

Some reviewer with a large following needs to buy this rifle and tear it down and compare the parts and all the rest. Tell us if this supposedly stand out rifle is at least as good as it once was. Seeing the company being sold by a gut and run company makes me think the degrading of the product might have started some time ago. I hope not, but the type of sale raises my suspicions.

 

[Hateful McNasty]

I concede to your point.

I suppose I was just being nostalgic, still one way or another the end of an era.

Byand names , made in, ect have little to no meaning anymore ..

All a guy can hope for is if he buys it , it works as he expects out of the box.
.lol

 

[FL22]

I am simply speaking of it being a possible collectible item. I am in no position to quantify the quality of the rifle or lack there of, but I do know with certainty that there are plenty of items in the realm of collectibles that are absolute PoS. Yet some individuals and investors pay ridiculous sums of money for it .

Imo, as far as YT goes, most of its content is subjective entertainment at best.
I prefer empirical proof by a neutral source.

My experience with Crosman was positive, I’m sorry if that doesn’t fit within any narrative.

And before anyone gets their panties in a twist, I’m not directing this at anyone in particular, just stating my opinions that is all.

 

[Hateful McNasty]

Well it's a done deal now so all we can do is hide and watch and wait and see what this future holds ..

Lousing up my cphp pellets and pricing at Walmart and the shoot ability of them in my stuff is my biggest concern . I been grateful for that

 

[FL22]

Well it's a done deal now so all we can do is hide and watch and wait and see what this future holds ..

Lousing up my cphp pellets and pricing at Walmart and the shoot ability of them in my stuff is my biggest concern . I been grateful for that

Believe it or not when I read the headline, of course, I thought of the workers first, but then as it settled in, I thought about you and what the hell are you gonna do if things go to sh1t? I hope you don’t pack away the hobby. Just find a way to tough it out.

 

[Hateful McNasty]

Believe it or not when I read the headline, of course, I thought of the workers first, but then as it settled in, I thought about you and what the hell are you gonna do if things go to sh1t? I hope you don’t pack away the hobby. Just find a way to tough it out.

Getting close to it .. these companies seem to be phasing guys like me out . Just throw it in to the shop closet of hobbies of past . Not much after covids great reset holds my interest and what did become a hassle.

 

[Alandaledaniel]

There are still many good companies out there that need our support. I think Crosman was a good company, and I hope it remains a good company. My comments were made based on what has happened to other companies that I am somewhat familiar with. I looked at the company behind the sale of Crosman and got worried. As many have said all we can do is wait and see. It might be nice if publishers like Hard Air would watch what is going on after the sale and keep us informed. Of course, things could get better. Being 76 years old and having watched Kennedy get murdered, LBJ pushing us into Vietnam, Watergate, Clinton’s affairs, etc I have become quite cynical. Let’s all believe that things can get better. I will give it my best. AD2

 

[pump362]

As an owner of Benjamin, Crosman, Daisy, and Winchester airguns I hope that Daisy the company is pursuing this purchase to keep the Crosman name in caring hands. It is an opportunity to expand the market
and innovate new ideas. We shall see indeed.

 

[Hateful McNasty]

As an owner of Benjamin, Crosman, Daisy, and Winchester airguns I hope that Daisy the company is pursuing this purchase to keep the Crosman name in caring hands. It is an opportunity to expand the market
and innovate new ideas. We shall see indeed.

But daisy ain't the purchasers it's just another company / brand in a holding company portfolio. Lol

 

[pump362]

Okay. I'm confused then about the title of this news.

 

[FL22]

Okay. I'm confused then about the title of this news.

Hateful is saying that one holding company is kicking the can to another holding company. Think of a holding company as a puppeteer, pulling strings (making all the decisions and reaping the rewards but when something goes wrong with your Airguns you blame the puppet)

 

[Hateful McNasty]

Okay. I'm confused then about the title of this news.

That's what they count on ... Been there

Check my post here page 1 post 15

 

[Dogowski]

Hoping they just let the Crosman crew keep pumping out those sweet CPHPs, because the Daisy HPs aren’t nearly as accurate in my guns and that’s being kind in my assessment.

The daisy pellets don't shoot well in any of my rifles either. CPHPs are my go to inexpensive pellets and a Walmart is 1 mile from my house!

 

[Doc Holiday]

But Daisy doesn’t own Daisy. Gamo bought Daisy some time back. I was hoping Gamo would breathe some life back into Daisy. But so far nothing. I think they just wanted the “low cost” bb gun market. Daisy sells tons of them.