Smith & Wesson to Be Sold, Paper Reports

British-based “guns-to-buns” conglomerate Tomkins has decided to sell its U.S. handgun maker Smith & Wesson, the Financial Mail on Sunday newspaper reported. Smith & Wesson, one of the oldest and most well-known small-arms makers in the world, is the “guns” part of a conglomerate that includes a car parts manufacturer and a bread maker. The newspaper, citing sources close to the company, said the sale could raise as much as $161.6 million. A Tomkins spokesman said the company had no comment. Tomkins’ reported plans to sell Smith & Wesson follow news late last year of a possible sale by BAE Systems of Germany to sell small-arms maker Heckler & Koch to U.S. gun maker Colt’s Manufacturing for about $100 million. Tomkins’ share price has fallen 29% in the last year, prompting Tomkins to announce in July that it would spin off early this year its European food operations. But the Financial Mail said the prospect of class-action lawsuits against gun makers in the United States could block any sale of Smith & Wesson. “Tomkins will [sell Smith & Wesson] if it can, but until the lawsuits are settled, it may be difficult to sell,” the source close to Tomkins was quoted as saying.