Sporting goods retailer Vista Outdoor has entered an amended merger agreement with the Czechoslovak Group (CSG). 

Vista Outdoor has two operating segments, Revelyst and The Kinetic Group. They include a range of brands for outdoors-focussed consumers. 

The agreement, announced on 27 May 2024, raises the base purchase price for The Kinetic Group business by $50m, from $1.91bn to $1.96bn. 

The revised agreement also benefits Vista Outdoor stockholders who will now receive an additional $3.10 per share, increasing the cash consideration from $12.90 to $16.00 per share.  

The adjustment marks a 24% increase and reflects the excess cash generated by Vista Outdoor in the fourth quarter. 

Vista Outdoor has decided to return $130m of excess cash to its stockholders as part of the cash consideration in the transaction.  

This is in addition to the increased base purchase price provided by CSG. Post-transaction, Revelyst plans to distribute any cash above $250m to its stockholders through a share buyback or special dividend. 

The completion of the transaction requires approval from Vista Outdoor's stockholders, clearance from the Committee on Foreign Investment in the United States (CFIUS) and other customary closing conditions.  

The deal is anticipated to close within the 2024 calendar year. 

Vista Outdoor is working with CFIUS to secure the necessary clearance, and remains confident in fulfilling all conditions for the merger.  

Morgan Stanley & Co and Cravath, Swaine & Moore have been appointed as financial and legal advisers respectively to Vista Outdoor for this transaction.  

Vista Outdoor is known for its portfolio of brands offering sporting and outdoor products. These include Bushnell, CamelBak and Federal Ammunition.