Colt CZ : announces closing of the acquisition of Sellier & Bellot

Prague (May 16, 2024) ― Colt CZ Group SE ("Colt CZ", the "Group" or the "Company") hereby announces that it has successfully closed on its acquisition of 100% interest in Sellier & Bellot a.s. ("Sellier & Bellot").

Colt CZ acquired 100% of shares of Sellier & Bellot for the combination of the cash consideration in the amount of $350 million and a new issue of 13,476,440 of Colt CZ common shares. Total acquisition price equals to $703 million in total, excluding net debt of Sellier & Bellot.

The selling company CBC Europe S.à r.l. ("CBC") therefore gained a 27.71% stake in the share capital of Colt CZ Group. New shares were issued^[1] on May 16, 2024, and Sellier & Bellot will enter in the Group's consolidation also as of May 16, 2024.

The acquisition was financed through a combination of the Company's existing cash resources and debt financing via bank loans maturing in 2029.

The Company expects the CBC representative to take a seat on the Colt CZ Supervisory Board after the co-optation and subsequent election by the General Meeting of shareholders. Mr. Radek Musil, CEO of Sellier & Bellot will be elected as a member of the Board of Directors of Colt CZ with responsibility for the Ammunition segment. No further changes in the management of Sellier & Bellot are currently planned.

"The completion of the Sellier & Bellot acquisition significantly strengthens our Group's position in the small-caliber ammunition segment and it is a natural extension of our scope beyond the production of small arms. Together, we will now work to ensure that primarily our customers and shareholders will benefit from the combination of our iconic brands, and that we will be able to offer future products as a true system of perfectly synchronized firearms, ammunition and accessories," said Jan Drahota, CEO and Chairman of the Board of Directors of Colt CZ Group."We are proud that Sellier & Bellot is becoming one of the pillars of our Group together with the CZ and Colt brands," added Jan Drahota.

"I am glad that today we became part of the Colt CZ Group, a global group with Czech heritage. I look forward to working with both the Group's management and the other Group companies. We will continue to build on the tradition and strength of the Sellier & Bellot brand and take part of the Colt CZ's mission to provide innovative and high-quality products that customers can rely on in any situation," said Radek Musil, CEO of Sellier & Bellot.

Sellier & Bellot, founded in 1825, is one of the world's oldest companies in the ammunition and defense industry and ranks among the most important industrial companies in the Czech Republic. The company's production portfolio includes a wide range of hunting and sporting ammunition. Sellier & Bellot is also a major supplier of ammunition to the military and law enforcement customers around the world. The advanced technology in all stages of production guarantees products of the highest quality. Investments in R&D enable the company to introduce new products every year. Recent successes include lead-free bullets for hunting and law enforcement applications, as well as proprietary products such as Nontox match compound and infrared tracer bullets. The company has approximately 1,600 employees and operates a production facility in Vlašim, Czech Republic.

CBC Global Ammunition LLC and CBC Europe S.à r.l. are the holding entities for a group of companies internationally active in the ammunition sector: CBC Brazil, Magtech Ammunition, MEN, SinterFire, New Lachaussée and Fritz Werner. Together, this strategic alliance forms one of the largest ammunition corporations in the world, with a combined experience of more than 300 years in the manufacturing of small and medium calibers.

About Colt CZ Group SE

Colt CZ Group (Colt CZ) is one of the leading producers of firearms and ammunition for military and law enforcement, personal defense, hunting, sport shooting, and other commercial use. It markets and sells its products mainly under the Colt, CZ (Česká zbrojovka), Colt Canada, CZ-USA, Dan Wesson, Sellier & Bellot, Spuhr, swissAA and 4M Systems brands.

Colt CZ Group is headquartered in the Czech Republic and employs more than 3,600 people in its production facilities in the Czech Republic, the United States, Canada, Sweden, Switzerland, and Hungary. Colt CZ is owned by Česká zbrojovka Partners SE from 54.5%, CBC Europe S.à r.l. from 27,7% and the remaining 17.8% being a free float.

Contact for media Contact for investors

Eva Svobodová Klára Šípová

External Relations Director Investor Relations

Colt CZ Group SE Colt CZ Group SE

Phone: [phone] Phone: + 420 724 255 715

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[1] Colt CZ informs about the capital increase in the separate regulatory announcement. The Prospectus for the purpose of issuance of new shares will be available at Company´s website after the admission of new shares for trading on the stock exchange.