Cerberus to sell stake in Bushmaster gun maker

NEW YORK Private equity firm Cerberus Capital Management is planning to sell its stake in Freedom Group, maker of the Bushmaster rifle, following last week's U.S. school shooting that killed 26 people, including 20 children.

The gunman, Adam Lanza, used a .223-caliber Bushmaster rifle during the shooting at the Connecticut school. Several calls for stricter gun control have followed.

Cerberus said in a statement Tuesday that it was deeply saddened by Friday's events. The statement also read in part, "It is apparent that the Sandy Hook tragedy was a watershed event that has raised the national debate on gun control to an unprecedented level. The debate essentially focuses on the balance between public safety and the scope of the Constitutional rights under the Second Amendment. As a Firm, we are investors, not statesmen or policy makers."

The firm said it will hire a financial adviser to help with the process of selling its Freedom Group interests.

Cerberus said that money made from the stake sale will be returned to its investors.