For whatever reason the recent reverse merger of Black Diamond and Gregory continues to fascinate me to the point that I even perused the 8-K filing with the SEC announcing the completion of their acquisition by Clarus Corp. There are definitely some interesting financial tidbits to be gleaned from reading the 8-K if you are into that sort of thing.
Regarding how the business will look moving forward, a lot of people across the interwebs have weighed in with their opinion about what this merger means for for BD and Gregory. Not surprisingly most of the outlooks are negative with many people lamenting the fact that these 2 companies have “sold out”.
Backcountry Magazine caught up with BD’s Ski Category Director Thomas Laakso who addressed these kinds of concerns directly:
Since the merger, online forums, chock full of concerned skiers and climbers predicted – abrasively at times – a decline in quality, hard goods production and customer care. Most voiced concern over the fact that BD is no longer employee-owned (and therefore no longer skier/climber-owned). Going public potentially indicates that the financial concerns of Wall Street shareholders exceed their interest in the outdoors. But Laakso dismissed any concerns that BD will lose its integrity. “We weren’t purchased by a multi-brand conglomerate,” he commented. “Our employees, management, ethics of business, what we stand for and support environmentally, and our standards of quality will remain the same.”
As for how the merger will help their business grow:
“This merger gives us additional capital to spend on research and development,” said sales representative Tyler Merritt. “Developing BD’s recent line of Telemark ski boots required every other project to be put on hold. That will no longer be an issue.” With more secure financial support, Black Diamond’s future will ideally coincide with the company’s roots.
Read the rest of the article here and, if you’re so inclined, trade the company’s stock starting tomorrow morning when it begins trading under the symbol “BDE” on the NASDAQ.
Does this mean they will be called “Black Gregory” from now on?
Not sure if you are joking or not but they are hoping to rename the combined company “Black Diamond”
can’t say i’m freaking out when a climbing gear co. that makes packs merges with a pack company..