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Armada sold to a sports giant

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Moccis
Posts: 83 - Karma: 314
https://globenewswire.com/news-release/2017/03/29/946163/0/en/Amer-Sports-acquires-Armada-a-US-ski-brand.html

Armada just got bought for $4,1 million and is no longer rider owned. The company is now a part of the same family as Atomic and Salomon, and also owned by a Finnish company.
Mar 29 2017 3:41AM
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razors-chaz
Posts: 2255 - Karma: 1,250
This, to me, would go some way to explaining why salomon and atomic cut their freeskiing lines to the bone for next season
Mar 29 2017 4:06AM
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Julius_Steezer
Posts: 776 - Karma: 4,546
Not gonna go on like "bruh armada sold out and aren't core anymore" but it does suck a bit that arguably the most famous, OG freeski brand is now gonna be under some degree of corporate control. Having said that, having more cash for R&D and sponsorship is only a good thing for armada and skiing
Mar 29 2017 4:34AM
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TOAST.
Posts: 7532 - Karma: 36,803
Seems like there has been a lot going on at Armada for the past year. I would be interested to hear what was all going on.
Mar 29 2017 5:45AM
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Uncle_Rowdy
Posts: 154 - Karma: 175
for some reason, 4.1million doesn't seem like that much to buy a profitable ski company for.
Mar 29 2017 5:57AM
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corona
Posts: 12811 - Karma: 32,914
Uncle_Rowdyfor some reason, 4.1million doesn't seem like that much to buy a profitable ski company for.


Yea that seems really low. Especially considering they apparently do 10 million in sales each year.

Maybe there was a ton of debt? Tanner was buying his weed with company funds?
Mar 29 2017 6:25AM
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patagonialuke
Posts: 1627 - Karma: 8,686
razors-chazThis, to me, would go some way to explaining why salomon and atomic cut their freeskiing lines to the bone for next season


That's what came to mind when I saw this as well.

As far as the corporate giants go, I think Amer is one of the better ones. Salomon, Atomic, and Arc'teryx are all brands that place a very heavy emphasis on R&D, and allow a bit of trickle-across collaboration (e.g. Procline and S-Lab X-Alp).

I won't speculate about the company's specific financial status, but the rumors had not been very good, so I'm glad to see that they will be carrying on as a brand instead of crashing and burning.
Mar 29 2017 7:31AM
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Da.Vinci
Posts: 309 - Karma: 911
god damnit
Mar 29 2017 7:34AM
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onenerdykid
Posts: 6704 - Karma: 11,276
razors-chazThis, to me, would go some way to explaining why salomon and atomic cut their freeskiing lines to the bone for next season


Purely a coincidence. Each brand makes their own decisions concerning what products to make. Plus, the products that were launched at ISPO/SIA were decided on over a year ago, well before any of this went down.
Mar 29 2017 7:42AM
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.MASSHOLE.
Posts: 7495 - Karma: 11,555
VinnieFYea that seems really low. Especially considering they apparently do 10 million in sales each year.

Maybe there was a ton of debt? Tanner was buying his weed with company funds?


Most likely debt if they own their own manufacturing facilities and don't outsource it.

If this isn't the case, it explains a lot since they don't have much in the way of physical capital.
Mar 29 2017 7:43AM
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itzki
Posts: 444 - Karma: 1,344
Basically the final nail in the coffin to make Armada fully non-core. Kind of saw this coming tho, it's been kind of in limbo somewhere between core and not core for a while. It sucks, but I doubt this will really change their operations much since they've been cooperating with Amer for a while now, this just puts it into writing with money on the table. Either way, I can't see the industry being shaken up all that much from this, people said Line and K2 getting bought by Jardin/Rubbermaid was going to wreck everything but we still have LTC and most of the good shit from before. If you roll with core you probably weren't riding Armada anyway, and if you didn't then really nothing has changed, just money changing hands between some guys in business suits that have only seen snow from the window of their conference room.
Mar 29 2017 8:21AM
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razors-chaz
Posts: 2255 - Karma: 1,250
onenerdykidPurely a coincidence. Each brand makes their own decisions concerning what products to make. Plus, the products that were launched at ISPO/SIA were decided on over a year ago, well before any of this went down.

I assumed this had been on the cards from before the line for the coming year was finalised, my bad. So how quickly has this come about? I don't mind cutting your freeskiing line. It just means more opportunity for the smaller freeski brands.
Mar 29 2017 8:55AM
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Session
Posts: 5397 - Karma: 22,385
.MASSHOLE.Most likely debt if they own their own manufacturing facilities and don't outsource it.

If this isn't the case, it explains a lot since they don't have much in the way of physical capital.

LOL, you think Armada ever manufactured their own skis?
Mar 29 2017 8:56AM
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corona
Posts: 12811 - Karma: 32,914
SessionLOL, you think Armada ever manufactured their own skis?


I did. Do they not? Made in China a la Revision?
Mar 29 2017 9:25AM
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skierman
Posts: 8388 - Karma: 7,775
Uncle_Rowdy4.1million doesn't seem like that much to buy a profitable ski company for.



You're right, which is why they didn't buy a profitable ski company for $4.1 million.
Mar 29 2017 9:34AM
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Rparr
Posts: 5617 - Karma: 46,611
itzkiBasically the final nail in the coffin to make Armada fully non-core. Kind of saw this coming tho, it's been kind of in limbo somewhere between core and not core for a while. It sucks, but I doubt this will really change their operations much since they've been cooperating with Amer for a while now, this just puts it into writing with money on the table. Either way, I can't see the industry being shaken up all that much from this, people said Line and K2 getting bought by Jardin/Rubbermaid was going to wreck everything but we still have LTC and most of the good shit from before. If you roll with core you probably weren't riding Armada anyway, and if you didn't then really nothing has changed, just money changing hands between some guys in business suits that have only seen snow from the window of their conference room.


Try harder you brand-hipster
Mar 29 2017 9:37AM
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mr-mcsteeze
Posts: 487 - Karma: 1,103
wheres Dan we need the ruling if armada is still core or not
Mar 29 2017 9:39AM
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Lukrom_
Posts: 147 - Karma: 712
Is armada done for every, can someone answer this. I just bought the ar8 zero skis so glad i did.
Mar 29 2017 9:52AM
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itzki
Posts: 444 - Karma: 1,344
RparrTry harder you brand-hipster


Hey, I was just calling it how I see it
Mar 29 2017 10:01AM
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itzki
Posts: 444 - Karma: 1,344
RparrTry harder you brand-hipster


Hey, I was just calling it how I see it
Mar 29 2017 10:01AM
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itzki
Posts: 444 - Karma: 1,344
itzkiHey, I was just calling it how I see it


itzkiHey, I was just calling it how I see it


Aaaaand I double posted. Now anything I saw in this thread is 100% invalid.
Mar 29 2017 10:14AM
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.MASSHOLE.
Posts: 7495 - Karma: 11,555
SessionLOL, you think Armada ever manufactured their own skis?


Honestly, I had zero idea but was leaning towards them outsourcing it.

That explains why it was so cheap, no physical capital, just a brand name that in grand scheme of skiing is rather small. You're not going to find many people who are first timers, casual skiers, or older who ski on Armadas and know who they are.
Mar 29 2017 10:14AM
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SofaKingSick
Posts: 9365 - Karma: 61,497
SessionLOL, you think Armada ever manufactured their own skis?


where are they made?
Mar 29 2017 10:18AM
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cobra_commander
Posts: 16909 - Karma: 4,682
Armada skis have been produced in a variety of Atomic factories for most of the last decade and recently also producing some higher end models in the Blizzard factory.
Mar 29 2017 10:55AM
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Deepskier
Posts: 3267 - Karma: 4,832
What a disappointment. Wonder what JP would have thought about this...
Mar 29 2017 11:04AM
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Deepskier
Posts: 3267 - Karma: 4,832
Well its not core anymore, it will become as big as atomic, Wilson, Salomon, etc. So I think its time to stock up on old armada shit and Vishnu to release a new set of wets already.
Mar 29 2017 11:09AM
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SofaKingSick
Posts: 9365 - Karma: 61,497
cobra_commanderArmada skis have been produced in a variety of Atomic factories for most of the last decade and recently also producing some higher end models in the Blizzard factory.


right now i remember that.

doesnt sound like a bad thing, eh?
Mar 29 2017 11:10AM
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AGOF
Posts: 2038 - Karma: 3,607
DeepskierWhat a disappointment. Wonder what JP would have thought about this...


Probably would prefer this to the company he helped found going under
Mar 29 2017 11:14AM
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cobra_commander
Posts: 16909 - Karma: 4,682
What is really funny is how many of you apparently still thought Armada was rider owned over the last few years.
Mar 29 2017 11:24AM
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SofaKingSick
Posts: 9365 - Karma: 61,497
cobra_commanderWhat is really funny is how many of you apparently still thought Armada was rider owned over the last few years.


i thought travis heed and candide owned and ran it as a 403b non-profit
Mar 29 2017 11:29AM
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Deepskier
Posts: 3267 - Karma: 4,832
A-cAllProbably would prefer this to the company he helped found going under


Yeah but its not like armada is on the rocks and it was sell or go under. So he probably would have preferred his company stay rider owned and keep doing what its doing.
Mar 29 2017 11:35AM
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Lukrom_
Posts: 147 - Karma: 712
cobra_commanderWhat is really funny is how many of you apparently still thought Armada was rider owned over the last few years.


The rider owned brands are Vishnu, ON3P, Revision, HG, Yoke, NWT3K, Aura Optics, Virtika, jskis, 4FRNT, ski the east, maybe saga, and may more.

When will armada release their first "new" products, this coming season or the following season.
Mar 29 2017 11:35AM
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AGOF
Posts: 2038 - Karma: 3,607
DeepskierYeah but its not like armada is on the rocks and it was sell or go under. So he probably would have preferred his company stay rider owned and keep doing what its doing.


Good to know you have armadas profit reports on hand.
The fact that Logan imlach was worried about the future of armada before this started to get finalized tells me not awesome things
Mar 29 2017 12:46PM
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cobra_commander
Posts: 16909 - Karma: 4,682
DeepskierYeah but its not like armada is on the rocks and it was sell or go under. So he probably would have preferred his company stay rider owned and keep doing what its doing.


A company with $10m in annual sales just sold for $4.1m, $2.5 in cash.

Sounds like it was healthy as fuck.
Mar 29 2017 1:00PM
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pajibber
Posts: 614 - Karma: 42
Overall its a good thing for the company. They were in serious trouble after (name redacted) bought them and drove them into the ground. Amer should be able to clean up the business and put them on a sustainable path. Amer will probably have to cut out some of the products that don't make any money, but the brand is the core value of what they bought so they'll be careful not to mess with that too much.
Mar 29 2017 1:38PM
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chodo
Posts: 274 - Karma: 918
lol at all the business geniuses in here
Mar 29 2017 2:23PM
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TheDoughAbides
Posts: 1319 - Karma: 4,036
gonna leave this here

http://www.abladvisor.com/news/10356/siena-lending-group-provides-7mm-credit-facility-to-armada-skis
Mar 29 2017 2:39PM
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corona
Posts: 12811 - Karma: 32,914
TheDoughAbidesgonna leave this here

http://www.abladvisor.com/news/10356/siena-lending-group-provides-7mm-credit-facility-to-armada-skis


Well, that settles it. They have a buttload of debt. When you have to pay off one credit card with another you know you're in the shitter.
Mar 29 2017 3:57PM
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-Dan
Posts: 7149 - Karma: 52,307
mr-mcsteezewheres Dan we need the ruling if armada is still core or not


Im on Instagram begging for likes.
Mar 29 2017 4:45PM
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Sharko
Posts: 2274 - Karma: 4,100
lukromThe rider owned brands are Vishnu, ON3P, Revision, HG, Yoke, NWT3K, Aura Optics, Virtika, jskis, 4FRNT, ski the east, maybe saga, and may more.

When will armada release their first "new" products, this coming season or the following season.


Can we please take Revision off of this list? They might be rider owned, but they aren't a ski company. They don't make skis, and you sure are hell can't buy skis from them.
Mar 29 2017 5:15PM
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CB4TSB
Posts: 428 - Karma: 1,221
itzkiBasically the final nail in the coffin to make Armada fully non-core. Kind of saw this coming tho, it's been kind of in limbo somewhere between core and not core for a while. If you roll with core you probably weren't riding Armada anyway, and if you didn't then really nothing has changed, just money changing hands between some guys in business suits that have only seen snow from the window of their conference room.


This could not be further from the truth. I can tell you many of the Amer executives, even the ones who work for their divisions outside of the the ski industry are hardcore skiers. You really think a Finnish sporting goods company is just "some guys in business suits" then you clearly now nothing about the industry.

You can make that statement about Newell/ Rubbermaid but not about Amer.
Mar 29 2017 6:55PM
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skierman
Posts: 8388 - Karma: 7,775
VinnieFWhen you have to pay off one credit card with another you know you're in the shitter.


Ah well that's good to know because I just don't pay the credit card. #notintheshitterjustyetlikearmadawas
Mar 29 2017 7:31PM
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Deepskier
Posts: 3267 - Karma: 4,832
A-cAllGood to know you have armadas profit reports on hand.
The fact that Logan imlach was worried about the future of armada before this started to get finalized tells me not awesome things


Damn you dont have to be salty, I heard nothing from logan previously or anyone for that matter. But I figured they were doing well because they have 10 million in sales annually and every fucking kid has at least 3 full armada suits and or skis around here.
Mar 29 2017 7:39PM
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Deepskier
Posts: 3267 - Karma: 4,832
cobra_commanderA company with $10m in annual sales just sold for $4.1m, $2.5 in cash.

Sounds like it was healthy as fuck.


damn sorry that didn't occur to me, I just figured, everyone on here talks about how great they are and I love all my armada shit too probably why every fucking kid has a thousand dollars worth of armada shit in there closet. My thought process makes sense.
Mar 29 2017 7:42PM
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jakeordie
Posts: 664 - Karma: 3,277
I guess it's kinda hard to compete with Amer & Newell when you don't sell anything for hella months every year :/
Mar 29 2017 7:46PM
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dbchili
Posts: 2555 - Karma: 1,657
TheDoughAbidesgonna leave this here

http://www.abladvisor.com/news/10356/siena-lending-group-provides-7mm-credit-facility-to-armada-skis


VinnieFWell, that settles it. They have a buttload of debt. When you have to pay off one credit card with another you know you're in the shitter.


This doesn't mean much. Companies restructure their debt all the time. Also what is that debt relative to assets? 7m could be a lot or a little

TBH I thought it sounded like a lot. Companies like armada don't make much profit, so even if they made 5% revenue as net income the other guys still paid 8x net income for them
Mar 29 2017 8:55PM
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AveragePete
Posts: 249 - Karma: 537
Don't let the articles fool you. The company was wagered off in an underground game of slvsh
Mar 29 2017 10:08PM
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onenerdykid
Posts: 6704 - Karma: 11,276
waiting4snowThis could not be further from the truth. I can tell you many of the Amer executives, even the ones who work for their divisions outside of the the ski industry are hardcore skiers. You really think a Finnish sporting goods company is just "some guys in business suits" then you clearly now nothing about the industry.

You can make that statement about Newell/ Rubbermaid but not about Amer.


A couple of years ago, I went downhill mountain biking with the Amer CEO, Heikki Takala. He had his own bike & kit and put in 8 runs at a bike park here in the Austrian Alps. That's not exactly a walk in the park. He's also bugging me for a size 29.5 Hawx Ultra XTD 130 because his Backland Carbons just "aren't enough boot" for him. He may wear a suit & tie most of the time, but make no mistake- these guys don't live behind a desk.
Mar 30 2017 2:38AM
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snowfinder
Posts: 2885 - Karma: 34,226
onenerdykidA couple of years ago, I went downhill mountain biking with the Amer CEO, Heikki Takala. He had his own bike & kit and put in 8 runs at a bike park here in the Austrian Alps. That's not exactly a walk in the park. He's also bugging me for a size 29.5 Hawx Ultra XTD 130 because his Backland Carbons just "aren't enough boot" for him. He may wear a suit & tie most of the time, but make no mistake- these guys don't live behind a desk.


Now thats a ( Andy Samberg voice ) Boss
Mar 30 2017 8:46AM
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Session
Posts: 5397 - Karma: 22,385
SharkoCan we please take Revision off of this list? They might be rider owned, but they aren't a ski company. They don't make skis, and you sure are hell can't buy skis from them.


Revision was never "rider owned".
Mar 30 2017 10:39AM
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Sharko
Posts: 2274 - Karma: 4,100
SessionRevision was never "rider owned".


I guess that doesn't surprise me
Mar 30 2017 11:44AM
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