Houlihan Lokey Advises Clarus Corporation

Houlihan Lokey is pleased to announce that Clarus Corp. (Clarus and/or the company) has divested the Precision Sport segment, consisting of Sierra Bullets, LLC (Sierra) and Barnes Bullets – Mona, LLC (Barnes), to JDH Capital Company in an all-cash transaction for approximately $175 million. The transaction closed on February 29, 2024.
 
This transaction is the conclusion of the company’s previously announced process for the review and evaluation of the potential sale of the Precision Sport segment conducted by a special committee of independent directors of the company (the special committee) created in response to the receipt by the company of a nonbinding indication of interest from Warren B. Kanders to acquire the company’s Precision Sport segment through an affiliated entity. Mr. Kanders is the company’s Executive Chairman of the board of directors.

Headquartered in Salt Lake City, Utah, Clarus Corp. is a global leading designer, developer, manufacturer, and distributor of best-in-class outdoor equipment and lifestyle products focused on the outdoor and consumer enthusiast markets. Its mission is to identify, acquire, and grow outdoor “super fan” brands through its unique innovate-and-accelerate strategy. The company’s products are principally sold globally under the Black Diamond®, Rhino-Rack®, MAXTRAX®, TRED Outdoors®, Sierra®, and Barnes® brand names through outdoor specialty and online retailers, its own websites, distributors, and original equipment manufacturers.

Founded in 1947 and 1932, respectively, Sierra and Barnes are leaders in bullet technology and innovation, known across the industry for their high levels of accuracy and precision. Sierra is dedicated to manufacturing precision bullets intended to serve hunting and sport shooting enthusiasts as well as military and law enforcement professionals, while Barnes is focused on manufacturing some of the world’s most technologically advanced lead-free bullets and premium hunting, self-defense, and tactical ammunition. Both brands have earned their strong reputations across a range of end users, from hunters, sport shooting enthusiasts and elite military and law enforcement professionals around the world through their compelling performance and results.

Houlihan Lokey is serving as the exclusive financial advisor to the company’s special committee and assisted in initiating and negotiating the transaction on its behalf. This transaction reinforces Houlihan Lokey's strong global franchise in the defense, active lifestyle, outdoor, and tactical sectors and demonstrates the team’s exceptional success and momentum.