AOBC American Outdoor Brands Corporation

On July 25, 2016, we entered into a Purchase Agreement (the “Purchase Agreement”) with Crimson Trace Holdings, LLC, a Washington limited liability company (“CTH”), pursuant to which we will acquire (the “Transaction”) all of the issued and outstanding stock of Crimson Trace Corporation, an Oregon corporation (“CTC”).

Pursuant to the terms of the Purchase Agreement, we will acquire all of the issued and outstanding stock of CTC for an aggregate of $95.0 million in cash, subject to certain adjustments as set forth in the Purchase Agreement. The Transaction, which is expected to close in August, is subject to customary closing conditions, including the expiration or termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976. The Purchase Agreement contains other provisions, covenants, representations, and warranties made by us, CTC, and CTH that are typical in transactions of this size, type, and complexity.

A copy of the Purchase Agreement is attached hereto as Exhibit 2.11 and is incorporated by reference into this Item 1.01. The foregoing description of the Purchase Agreement and the transactions contemplated thereby is qualified in its entirety by reference to the full text of the Purchase Agreement. The Purchase Agreement has been attached to provide investors with information regarding its terms. It is not intended to provide any other factual information about us, CTC, or CTH. In particular, the assertions embodied in the representations and warranties contained in the Purchase Agreement are qualified by information in confidential disclosure schedules provided in connection with the signing of the Purchase Agreement. These confidential disclosure schedules contain information that modifies, qualifies, and creates exceptions to the representations and warranties set forth in the Purchase Agreement. Moreover, certain representations and warranties in the Purchase Agreement were used for the purpose of allocating risk between us, CTC, and CTH rather than for establishing matters of fact. Accordingly, readers should not rely on the representations and warranties in the Purchase Agreement as characterizations of the actual state of facts about us, CTC, or CTH.