GrabAGun Stock Drops 24% After SPAC Merger Debut on NYSE

GrabAGun Digital Holdings, the online firearms retailer known by the stock ticker "PEW," made its public debut on the New York Stock Exchange this week, marking a significant milestone for the Coppell, Texas-based company. This transition to a publicly traded entity was facilitated through a merger with Colombier Acquisition Corp., a special acquisition company, commonly referred to as a SPAC. The deal provided GrabAGun with over $119 million in net proceeds, funds earmarked to fuel future growth and bolster working capital.

Despite an initial surge, the company's shares experienced a decline, closing down nearly 24% by the end of the trading day. The fluctuating share price highlights the volatile nature of the market debut for companies opting for a public listing via SPAC, a method that offers a swifter and less conventional path to going public by sidestepping the rigorous scrutiny typically associated with traditional IPOs.

GrabAGun is widely recognized for its extensive online platform offering firearms, ammunition, and related accessories. This robust e-commerce framework has allowed the company to carve out a niche in the digital firearms marketplace while appealing to both seasoned and new firearms enthusiasts. The company's efforts to foster an innovative, tech-driven approach to the industry were emphasized by CEO Marc Nemati, who expressed enthusiasm for the new opportunities and potential market expansion that the public listing brings.

The company's board gained notable attention due to the involvement of Donald Trump Jr., who serves as both a board member and advisor. His affiliation with the company has sparked interest since it coincides with his role in several other companies following the 2024 U.S. presidential election.

Despite the current dip in share price, the company's strategic plans to leverage its scalable platform and capitalize on the digital retail trend remain in focus. In 2024, GrabAGun reported revenues of over $90 million, although the first quarter of 2025 saw a drop to $23.3 million, down from $26.6 million in the same quarter the previous year. Despite this downturn, the company has maintained profitability, which it hopes to sustain and grow through strategic initiatives funded by the additional capital injection.

The public launch of GrabAGun follows closely on the heels of another local business, Caris Life Sciences, which also recently went public. This trend highlights the growing number of companies in the Dallas-Fort Worth area that are opting for public listings to drive growth and innovation within their respective fields.