Olin-Winchester Completes Acquisition of Small Caliber Ammunition Manufacturing Assets

Olin Corporation 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 shell case 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 the company’s 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,” says Ken Lane, Olin’s president and CEO. “Like the White Flyer acquisition in 2023, this acquisition furthers Winchester’s 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, says, “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.” winchester.com

In conjunction with the sale, AMMO is beginning a formal rebranding process, including a corporate name change to Outdoor Holding Company, to better reflect its e-commerce identity and broader vision in the outdoor lifestyle and sporting goods sectors. GunBroker, which had been a component of AMMO, Inc., will remain with the new entity. It is the largest online marketplace dedicated to firearms, hunting, shooting, and related products. Third-party sellers list items on the site and federal and state laws govern the sale of firearms and other restricted items. Ownership policies and regulations are followed using licensed firearms dealers as transfer agents. Launched in 1999, the GunBroker.com website is an informative, secure, and safe way to buy and sell firearms, ammunition, shooting accessories, and outdoor gear online. GunBroker promotes responsible ownership of guns and firearms.