Verney-Carron, an arms manufacturer that was supposed to supply Ukraine with assault rifles and carbines, goes bankrupt in France

The French firearms manufacturer Verney-Carron, with which Ukraine signed a contract to supply assault rifles, has gone bankrupt.

This was announced in a press release by CYBERGUN, which owns Verney-Carron.

Currently, the company has stopped any salary payments to employees and stopped production work due to a complete freeze of its finances.

As of today, the company has a debt of EUR 1 million, and despite EUR 12 million of investment from the parent company CYBERGUN, Verney-Carron’s condition remains deplorable.

The company is currently looking for a new shareholder to support the company with a two-hundred-year history.

At the same time, a court hearing to confirm the company’s insolvency is expected to take place on February 12, 2025.

In 2023, Verney-Carron S.A. and Ukrspetsexport signed an agreement worth EUR 36 million.

The agreement covers the production and transfer of about 12,000 rifles and 600 40mm grenade launchers to the Armed Forces of Ukraine.

Ukraine is to receive the first evaluation batch in early 2024, and the last batch will be delivered six months after the signing of the framework agreement.

Among its wide range of hunting weapons, the company produces VCD15 assault rifles in 5.56mm and .300 AAC calibers. It also participated in the tender for the standard rifle for the French army.

Along with the assault rifle, the VCD family of firearms includes a sniper rifle for marksmen, the VCD10, in 7.62*51mm caliber.

It is currently unknown whether the company has fully fulfilled the contract with Ukraine, as financial problems and delays in product delivery began in 2021.