Smith & Wesson Brands has acquired Savage Arms in a cash-and-stock deal that values the Westfield, Massachusetts, rifle and shotgun maker at $160 million. The Maryville, Tennessee, company announced the transaction Wednesday and closed it the same day, putting two of the oldest names in American gunmaking under one roof. Smith & Wesson traces its roots to 1852; Savage to 1894.

Smith & Wesson said in its announcement that it acquired Savage by merger from an indirect subsidiary of JDH Capital I, L.P., a Houston-based private investment firm established in 2017. The purchase price combines roughly 9 million shares of Smith & Wesson common stock, valued at $13.62 per share, with cash. The press release put the cash portion at $37.5 million. The company's Form 8-K filed with the SEC the same day shows $42.4 million in cash paid at closing, reflecting an adjusted transaction value of about $164.9 million after customary adjustments for Savage's cash, debt, transaction expenses and working capital. Those amounts remain subject to a post-closing adjustment settled in cash.

JDH now owns 16.7% of Smith & Wesson's outstanding common stock, making it the company's largest stockholder. Under an investor rights agreement, Smith & Wesson filled an existing board vacancy with JDH managing director Michael Fertitta, bringing the board to seven directors. According to the 8-K, JDH's shares are subject to a lock-up that releases in three equal installments at 90, 240 and 360 days after closing.

The deal is aimed squarely at the hunting market. Smith & Wesson built its reputation on handguns and has spent recent years pushing into long guns with the M&P15 line, the Model 1854 lever action and the M&P12 shotgun, along with Gemtech suppressors. Savage brings one of the deepest bolt-action catalogs in the industry, plus rimfire rifles and shotguns. Smith & Wesson describes the combined company as the leading U.S. firearms manufacturer.

"The acquisition of Savage is a transformative step for Smith & Wesson and an important milestone in our strategy to be the undisputed market leader in the firearm industry," Mark Smith, president and CEO of Smith & Wesson, said in the announcement. "Savage's brand heritage, culture, and longstanding reputation for performance and innovation align closely with our own, and the business meaningfully expands our presence in the hunting category."

Savage generated approximately $160 million in net sales for the twelve months ending September 30, 2026, according to the company. Smith & Wesson expects the deal to add about $18 million in incremental EBITDAS on a full-year basis, and said the purchase price works out to roughly 7.9 times Savage's adjusted EBITDA after accounting for an expected $2.5 million in initial annual synergies. Excluding acquisition-related accounting and transaction costs, the company projects the deal will add about $0.04 to fully diluted earnings per share for the rest of fiscal 2027 and $0.07 on a full-year basis, rising to about $0.10 once those initial synergies are realized. Smith & Wesson said its pro forma net leverage ratio stands at 1.16 after closing.

"Smith & Wesson is a natural partner for Savage given the complementary strengths of the two companies and their shared commitment to quality, innovation and serving the firearms community," Fertitta said. "We are excited about the potential of the combined business and look forward to participating in its continued success as a significant Smith & Wesson stockholder."

Savage was founded in Utica, New York, by Arthur Savage and has built all of its firearms in Massachusetts since 1946, according to Shooting Times. Its Model 110, introduced in 1958, remains one of the longest-running bolt-action designs in continuous production, and the AccuTrigger it introduced in 2002 became a selling point across the line. The company employs roughly 500 people, Firearms News reports. Vista Outdoor sold Savage in 2019 to an investor group led by Savage management for $170 million. Savage has stayed busy on the product side, rolling out the REVEL tactical lever gun in three rimfire chamberings just last week.

Neither company has said whether Savage will continue as a standalone brand or division, and the announcement does not address plans for the Westfield plant or its workforce. D.A. Davidson & Co. served as financial advisor to Smith & Wesson, with Bass, Berry & Sims as legal counsel. Latham & Watkins represented JDH and Savage.

The acquisition caps a busy stretch of consolidation news for the industry. It comes a day after Beretta closed its oversubscribed tender offer for Ruger shares, lifting Beretta Holding's stake in Ruger to 25%.