ML-Implode News - Gunsmith finds cold shoulders on Wall Street

``While lawmakers in Washington are only gingerly tackling the idea that some guns are more dangerous than others, this turned out to be an easy distinction for several reputational risk committees to make. Lending to a producer of shotguns used to shoot ducks is still good business; but aiding a big maker of semiautomatics is a publicity disaster waiting to happen.
This cold shoulder from lenders could make selling Freedom Group more difficult. The firm had $156 million of EBITDA last year. Put on the same multiple as Sturm Ruger it would be worth more than $1 billion. That's big enough that many buyers would need to borrow. No loans would mean fewer potential buyers and probably a lower price. That's why Cerberus co-founder Stephen Feinberg may gin up a stalking horse bid to encourage others.''

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Gunsmith finds cold shoulders on Wall Street