Smith & Wesson Holding Corporation announced it has fully repaid $100 million it borrowed in December to acquire Battenfeld Technologies Inc. using cash generated from operations in the fiscal fourth quarter of 2015.
Smith & Wesson said the repayment means it the full capacity of the $175 million line of credit is now available.
The company also announced that it intends to redeem all of the $100 million principal amount of 5.875% Senior Notes due 2017 at a redemption price equal to 102.9375% of the principal amount thereof on June 15, 2015.
Upon such redemption, the holders of the Senior Notes would also receive accrued and unpaid interest on the Senior Notes to the redemption date. The company intends to use bank borrowings and existing cash balances to fund the redemption of the Senior Notes.
Smith & Wesson Holding Corporation manufactures and designs a broad portfolio of firearms, related products, and training to the global military, law enforcement, and consumer markets. The company's firearm division brands include Smith & Wesson, M&P, and Thompson/Center Arms. As an industry leading manufacturer of shooting, reloading, gunsmithing, and gun cleaning supplies, the company's accessories division produces innovative, top quality products under Battenfeld Technologies, Inc., including Caldwell Shooting Supplies, Wheeler Engineering, Tipton Gun Cleaning Supplies, Frankford Arsenal Reloading Tools, Lockdown Vault Accessories, and Hooyman Premium Tree Saws. Smith & Wesson facilities are located in Massachusetts, Maine, Connecticut, and Missouri.
