By Connor Hart
Beretta Holding is attempting to increase its stake in Sturm, Ruger & Company, the latest move in an escalating dispute between the two firearms makers.
Beretta said it sent a letter to Ruger's board on Wednesday regarding a potential acquisition of up to 20.05% of Ruger's outstanding shares that Beretta doesn't already own for $44.80 a share in cash.
The proposed price represents a roughly 20% premium to the stock's 60-day volume-weighted average price, Beretta said.
Beretta, which already owns about 9.95% of Sturm Ruger's outstanding common stock, asked the board to exempt the transaction from Ruger's shareholder-rights plan, or poison pill, adopted last fall. The exemption would allow Beretta to increase its beneficial ownership to as much as 30% through the tender offer.
Ruger didn't immediately respond to a request for comment.
The latest development follows weeks of increasingly public disagreement between the companies. Earlier this month, Ruger said Beretta was seeking to gain control through discounted share purchases and outsize governance rights, after building its stake to nearly 10% and nominating four directors to the board.
Ruger additionally said Beretta had outlined a long-term plan to combine the two businesses and proposed that Ruger issue additional shares at a discount, which would allow Beretta to increase its stake while obtaining disproportionate board representation. Ruger said it adopted the poison pill to guard against a potential creeping takeover.
Beretta has denied those claims, saying it wasn't seeking control and had instead pursued a negotiated minority investment aimed at improving Ruger's performance. It described Ruger's characterization of the discussions as false and misleading, and said it remains open to a negotiated outcome.
Beretta on Wednesday accused Ruger's board of acting defensively and said shareholders should be allowed to determine whether to accept the tender offer.
Ruger shares were up 3.2% to $42.05 in premarket trading.
Write to Connor Hart at connor.hart@wsj.com
(END) Dow Jones Newswires
March 25, 2026 08:51 ET (12:51 GMT)
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