Beretta offers to boost its stake in Sturm, Ruger by another 20% with a tender offer

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Beretta Holding proposed on Wednesday to acquire an additional 20% stake in Sturm, Ruger & Company (RGR [https://seekingalpha.com/symbol/RGR]) above the 9.95% already disclosed. The tender offer was made at $44.80 per share. Notably, Beretta asked for an exemption to the poison pill that is in place.

In a letter sent last week to shareholders, Beretta argued that Ruger (RGR [https://seekingalpha.com/symbol/RGR]) has destroyed shareholder value through weak execution and poor board oversight and called for urgent, shareholder-driven change. The letter claims Ruger has significantly underperformed Smith & Wesson (SWBI [https://seekingalpha.com/symbol/SWBI]) and relevant indexes, despite favorable industry conditions. Beretta highlighted steep profit deterioration since 2021, with gross margin falling from 38% to 15%, operating margin from 28% to negative 2%, and net income dropping from about $156M to a loss of $4.4M. It also highlighted missed strategic opportunities (military/law enforcement channels, accessories, ammunition and outdoor products, international growth, and shotguns) and an underinvested, long-tenured board that collectively has over 65 years of service but owns only about 1% of Ruger stock.

Looking ahead, Beretta aims to elect four independent director nominees at Ruger's 2026 annual meeting.

Beretta Holding is a Luxembourg-based, family-owned holding company that controls the Beretta industrial group, a major global player in firearms, ammunition, optics, accessories, and related outdoor products. The company's roots can be traced back to 1526.

Shares of Sturm, Ruger (RGR [https://seekingalpha.com/symbol/RGR]) rose 5.3% in premarket trading to $42.87 on Wednesday and traded at their highest level of the year earlier in the session.

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* Sturm, Ruger & Company, Inc. (RGR) Q4 2025 Earnings Call Transcript [https://seekingalpha.com/article/4877373-sturm-ruger-and-company-inc-rgr-q4-2025-earnings-call-transcript]
* Sturm, Ruger & Company: 'In And Out' Is One Way To Play This One In 2026 [https://seekingalpha.com/article/4861971-sturm-ruger-and-company-in-and-out-is-one-way-to-play-this-one-in-2026]
* Firearms face-off: Sturm, Ruger and Beretta scrap over board seats [https://seekingalpha.com/news/4562307-firearms-face-off-sturm-ruger-and-beretta-scrap-over-board-seats]
* Ruger outlines 2026 plan to sustain growth and expand margins while boosting innovation [https://seekingalpha.com/news/4559912-ruger-outlines-2026-plan-to-sustain-growth-and-expand-margins-while-boosting-innovation]