User Panel
Posted: 4/14/2006 12:14:26 PM EDT
News from Bushmaster ::
Windham, ME--April 14, 2006 We are very pleased to announce another important step in the growth of Bushmaster Firearms. The business of Bushmaster Firearms, Inc. has been acquired by an affiliate of Cerberus Capital Management, L.P. Cerberus and its affiliated entities, headquartered in New York, manage funds and accounts with capital in excess of $18 Billion. The new company will be called Bushmaster Firearms International, LLC and its primary operations will remain in Windham, Maine and Lake Havasu City, Arizona. We will continue our 28 year history of commitment to providing high quality, affordable firearms, parts and accessories for Consumer, Law Enforcement, Military and International Customers. The new owners are committed to this company and these markets. John DeSantis will continue as the CEO of the new company, and Richard Thurston and Allen Faraday will continue in their current roles as senior executives of Bushmaster. Chad Brooks will be joining Bushmaster as Chief Operating Officer. The new company will strive to capitalize on Bushmaster’s premier market position, and will continue to grow the business. Richard Dyke will serve on the Board of Directors. As we continue to grow, we hope that you share our excitement about Bushmaster’s future, and our ongoing efforts to serve our customers with the highest quality products, the most responsive customer service, and the best delivery in the industry. Sincerely, John DeSantis, CEO Bushmaster Firearms International, LLC |
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So I googled Cerberus Capital Management, L.P and found the company overview:
Do you suppose Bushmaster will change their logo? |
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I don't know. Im not to keen on a major corporation taking over Bushmaster I hope they don't up there prices or change their quality to "save Money"
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Doesn't matter to me, there are many company's that make a superior product. Why buy a bushmaster and compromise features that you can have on guns built by CMT/Stag, BCM, LMT, and Colt. Adiós bushmaster
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Maybe so, but I will continue to buy CMT/Stag or whatever else is out there. Bushmaster is inflated imho.
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And My Opinion is That DENIAL is more than a River in Egypt. |
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Not to mention it is a superior product. |
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I agree that Bushmaster products are of great quality, but I can get the same quality or even better and pay less. Thats the free market aspect. Personally, I prefer the finish that Rock River Arms uses. I think is Bushmaster lowered their prices a little, since they are supposedly doing so well, they would get more of the market to buy.
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Yet more reasons why real shooters and mfg.s avoid this place. IDIOTS.
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Yep..some people just don't know when to keep their mouths shut... |
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I think it's more like a Venture Capital partnership but what the hell do I know |
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53 whole posts, and you used 3 of them to whine?
Get a life dude. Bushmaster makes a superior product, as MANY shooters here will gladly testify. Now stop your idiotic trolling. TXL |
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Great company
No complaints on the money I spent on my 3 with plans for more. GM |
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No problems with my Bushy, or my friends for that matter. Dont know what current prices are, I havn't bough a rifle since just after the ban and I payed WAY to much for my Bushy then, but it was supply/demand from the expiration of the ban |
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I bought a Carbon 15 M4 Bushmaster and I consider it one the best rifles I own. I can consistantly drive nails with it at whatever distance I have shot it. I was going to buy an AR10 in .308 but they stopped making it. I would pose a question to the guys from Bushmaster and ask if you might consider bringing it back now that you have an influx of capitol.
Keep up the good work Bushmaster |
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Guess some people cant accept other peoples opinions.
I have owned some bushmaster uppers and lowers. Likewise, they are great and 100% reliable. However, I have found that other companies make a product just as good for less. Im not saying Bushmaster is shit, thats your own interpetation. Im saying that other companies are making a product that is just as good, if not better. I suggested they lower some of their prices, but if they still sell with the higher prices, good for them. Thats why Hk is so sucessful. Its kinda like why buy an HK for 700$ when I can buy a Glock thats just as good, if not better for 450. No need to flame me for having an opinion. |
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I know I'm new to this forum, but why is everyone so quick to jump on someone over a financial move? I would at least give them credit for being a paying advertiser and sponsor of this site. If I were in the business, I certainly would not advertise where I was cut in the back by the same people I help out.
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Investment groups don't buy bad companies and provide additional funds for companies to grow and expand -(translation) more rifles in the marketplace. Also it means the owners of Bushmaster were probably paid an ungodly amount of money to give up control of their company.
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Read these articles. Be informed. Make your own decision.
http://en.wikipedia.org/wiki/Cerberus_Capital_Management http://www.businessweek.com/magazine/content/05_40/b3953110.htm http://www.usatoday.com/news/washington/2006-01-19-cerberus-cover_x.htm |
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it seems like every time someone mentions bushmaster on ARFCOM the bashers come out... so i will add my .02 : CONGRATULATIONS BUSHMASTER. i hope you continue to grow and develop. you make a great product. please continue to enhance the shooting sports and comunity, and i will continue to buy your products and support your company. |
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Me too, but anyone who has worked in a corporate environment knows there isn't much difference between that and a .gov bureaucracy. Hope the same attitude and the all for the "shareholder" mantra doesn't overtake Bushmaster. Would hate to see quality be overtaken by profit margins. |
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Well, I for one am pleased you are doing so well. I have been a Bushmaster supporter for a long time and I will continue to be. Don't mind the trolls, they hide under that bridge we call the internet. |
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Mr. Feinberg (Cerberus chairman) seems to be pro-gun.
Maybe he bought BM just for the SOT. |
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Hopefully, Bushmaster will continue to allow customers to order the exact weapon they want. Companies seem to lose that relationship after corporate mergers. I have a Bushmaster build I want completed when I return home. There the only company w/ the parts (i.e. heavy barrel 11.5/5.5" w/ ARMS SIRS).
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Cerberus is a hedge fund, specifically a vulture fund. Their usual investing approach is to focus on distressed companies, which can be bought cheaply. These distressed companies have some business problem (cash flow, litigation, massive debt) but generally are decent companies that just need a little bit of help. Cerberus hopes to be able to fix the company, and then later sell the company to either another financial buyer (hedge fund or private equity fund) or to the public (via an IPO).
The fact that Bushmaster was bought by Cerberus definitely seems to indicate that there was something wrong with Bushmaster, at least from a financial/business perspective. That's not necessarily a reflection on their products. But funds like Cerberus typically target underperforming companies, where the price is low and there's potential for some easy fixes to raise the value of the company. Since most of the senior mgmt team is remaining, that could be a good sign since firing senior management is often one of the first moves made in such a deal. Also, Cerberus has been known to inject additional capital into its investments. IMO, this purchase by Cerberus suggests that something was wrong with Bushmaster. Could be a number of things, like the old owners wanted out (who owned Bushmaster prior to this deal?), financing/debt management was becoming a problem, the company needed money for more growth in property/plant/equipment, who knows. The future prognosis is pretty murky, I think. Financial sponsors like Cerberus are more interested in their return on investment than anything else. Concerns about customers, the products, etc. all fall by the wayside. It would be interesting to see financial information on Bushmaster, because we could make some more-educated guesses as to the futue, but a couple of possible bad outcomesincludes a fear of lawsuits that leads Bushmaster to abandon the civilian market and focus on LEO/Mil, similar to Colt, or a focus on strict financial discipline that limits product innovation and new designs. Overall, the next 12-18months will be pretty important for BM. If there's no significant improvement in the financial performance of BM, the overlords at Cerberus are gonna start to get twitchy. Just my $0.02, FWIW... |
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One thing I'd be worried about is BM moving away from the civilian shooter to the LEO market only. I hope Cerberus realizes it's the civilian and LEO markets that will keep the money rolling in. |
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+1, we don't need another Colt or HK out there. Personally I think that this could mean great things. More capital for R&D. With Armalite coming out with a pistol line (Where are those pictures BTW?) it wouldn't hurt if Bushmaster would follow suit with a more original (read non-CZ clone) pistol. |
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When the bean counters take over ownership of any company, quality takes a hit over "better and cough "cheaper" cough manufacturing processes.
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Wow, you really don't hang out here much, do you? |
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No kidding... |
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I agree, Bushmaster's prices are on the high side of things. I just got their latest catalog...their lowers are nearly twice the price over much of the competion. And no, you CAN NOT tell me that I'm getting twice the lower...I'm not. I built many, many AR's and have used quite a variety of lowers and other parts including many BM's...Yes some parts are better, but I did say some. I've seen plnety of BM's that I have not at all impressed with and laughed at their prices. I am fan of their bbls. And for a while they had a good grip on the market with the chrome lining, but now...nearly all other manufactures offer it--even if as an option. Bushmaster also in my opinion offers great costomer service far better than Colt, that's for damn sure. Bushmaster also offers their dedication to the civilian market--again something Colt...lacks terribly. Notice my screen name, I bought a colt when I first got into the AR...but I sold it a month later--haven't owned one since. I have always enjoyed speaking with Bushmaster on the phone. But I am sorry, the pricing doesn't make up for all the posisitives...when the clock stops...its your wallet that finally speaks. Flame away..say what you want, blah. blah, blah..
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That is precisly what I was thinkin' when I made my first post about this. Somethin' isn't quite right and a lot of the things that made Bushmaster a great company often slides to the wayside when a big company takes over. Hopefully they won't be the next HK or Colt as far as decisions go |
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I am aggravated with the big buisness take over. Bushmaster will become another place to cell stocks and the bottom line will become profit, and more profit every year to keep the share holders happy.
That means out sourcing to China or other countries and assemble in U.S. Just watch!! The winner is always the CEOs that pocket millions in exchange for mergers. Hey I love Bushmaster Products, but I'm just being honest. |
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Amen. My fears exactly. I've seen it personally quite a few times over the years. |
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I own several Bushmasters, all excellent rifles. The one time I had a problem, Bushmaster's service department was stellar. And you can get parts from them, and a real person on the phone in case of a problem or question. Unlike others, BM has never turned its back on the civilian market.
The change in ownership may mean much or nothing at all to BM customers. Instead of speculating, why not wait and see what happens? If quality of product or service suffers, I'm sure we'll hear about it. In the meantime, let's give a good company the benefit of the doubt. |
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oh man. i be willing to bet this NY company brings with it it's NY politics. something tells me the next time that some assbag proposes an AWB for the state of maine, the bushmaster guys will not be at the forefront of the fight against it, telling the state to can that garbage idea or they'll pick up and leave the state. |
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Good LUCK Bushy!
What in the Bushmaster line is made here in Arizona? |
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They bought Professional Ordnance a couple years ago. They make the Carbon 15 line. WIZZO |
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Ding, ding, ding - this man is exactly right. I hope the Bushmaster execs know what they're getting into, because things are going to change for them. Cerberus doesn't screw around - if you don't produce the results they expect, your life will be miserable (if you don't get fired). Cerberus generally buys them cheap, fixes them up (often by replacing the management team - immediately or after a short trial period), and them dumps them when the value has peaked. |
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Well, they do not buy over-valued companies.... just what they believe is under-valued and that usually means distressed for one reason or another.
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Time will tell people! I like my pre ban Bushey and will get another! Just hope they don't raise there prices! John DeSantis isn't this the guy that runs the that holster company?
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Are the receivers stamped AZ? |
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I hope Bushmaster continues to make good 4150 steel barrels... There are only a handful of vendors making barrels like this at such a great price. CMMG is almost $100 more. Looks like it might be time to buy a few extra 16" barrels before something happens.
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In other news, Cerberus just bought 51% of GMAC. GM's Wagoner Fails to Gain Bondholder Confidence With GMAC Sale |
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I can't remember off-hand. WIZZO |
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I think Bushmaster makes a great product, now that being said I think you can fund others that are as good or almost as good for less. Bushmaster has has some price hikes in the past ( not that long ago )
Their prices could price them selves out of the market for most shooters. My AR is 90% bushy parts, and I love it(my rifle). Like HK, there will always be a market no matter how high prices get. Invisiblesoul |
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