EAST ALTON, IL — Olin Corporation (NYSE: OLN) announced that it has completed the previously announced acquisition of the small caliber ammunition assets of AMMO, Inc.
The assets, employees and ammunition business are now part of Olin’s Winchester Ammunition business, including the brass shellcase capabilities and a newly constructed, world-class, 185,000 square foot production facility located in Manitowoc, Wisconsin. The facility and its skilled employees complement Winchester’s existing production capabilities, enabling greater specialization and broader participation across a variety of high-margin, specialty calibers.
Funded from available liquidity, this transaction is expected to be immediately accretive to Olin’s shareholders, delivering incremental expected first-year adjusted EBITDA of $10 to $15 million, including synergies realization, leveraging Winchester’s industry-leading economies of scale, raw material sourcing, and our projectile, primer, and loading capabilities. Once fully integrated, this acquisition is expected to yield adjusted EBITDA of $40 million per year with full realization of synergies.
“During our recent Investor Day, we committed to our capital allocation framework,” said Olin’s President and CEO, Ken Lane. “Like the White Flyer acquisition in 2023, this acquisition furthers our Winchester strategy to identify and secure small, bolt-on opportunities that are highly strategic and immediately accretive to Olin. By year three, we expect to have paid one and a half times adjusted EBITDA for these world-class assets.”
Brett Flaugher, President of Winchester Ammunition, noted, “The specialization of the Manitowoc facility will expand our reach into higher-value commercial, as well as international military and law enforcement calibers, while deepening our near full integration across the ammunition value chain. This shift enables our larger, legacy plants to focus on high-volume products and growing our cost advantage.”
About Winchester Ammunition
Winchester is the leading small caliber ammunition brand for hunting, recreational shooting, and law enforcement, and the largest supplier to the U.S. military. The legendary Winchester® brand, with its 159-year history, is founded on principles of integrity, hard work, and a strong commitment to its loyal customers. As a segment of Olin Corporation, Winchester shares Olin’s purpose to deliver materials and solutions that enhance and protect lives. Learn more about Winchester and the responsible use of its products by visiting Winchester.com or connecting with us on Facebook at Facebook.com/WinchesterOfficial.
Winchester: Committed to Safe, Legal and Responsible Firearm Use
As a global leader in the shooting sports and hunting industry, and a brand of 159 years, Winchester is committed to safe, legal and responsible firearm use. Winchester works with key groups like the National Shooting Sports Foundation on a variety of topics important to our industry, including training and education, and on specific programs such as Gun Owners Care® and Project ChildSafe®. Winchester will continue to support programs, organizations and individuals who promote hunting and shooting sports activities in a positive and responsible environment. Any use of firearms by youth participants should be done under the direct supervision of a parent, guardian or other responsible adult.
About Gun Owners Care®
Gun owners care. You care about safety. You care about preventing unauthorized access to firearms. You care about bettering your community, helping those in need, and conserving wildlife and wild places for generations to come. It’s time for gun owners to tell their stories and to show how they’re making a difference. NSSF®, the trade association for the firearms industry, has established the Gun Owners Care® campaign to unite gun owners and the firearms industry in this common cause. Visit gunownerscare.org for more information.
