Vista Outdoor To Sell Kinetic To CSG For Sweetened Price Of $2.1 Bln; Rejects MNC's Offer

(RTTNews) - Vista Outdoor Inc. (VSTO) Monday announced that Czechoslovak Group a.s. or CSG has raised the price payable to buy Kinetic Group, Vista's ammo division. As per the amendment, the acquisition price is now increased by $100 million to $2.1 billion.

The change in the offer results in higher cash consideration by $3 per share to $21 in cash to Vista shareholders.

Meanwhile, Vista noted that it has rejected MNC Capital's final offer on June 26 to acquire Vista for $42 per share in an all-cash transaction.

Post transaction, Vista shareholders lock in the value of Kinetic Group and participate in the projected growth of Revelyst Inc., Vista's outdoor products company.

Upon the closing of the transaction, Vista stockholders will also receive one share of Revelyst.

"The CSG Transaction crystallizes significant value and mitigates future market risk for The Kinetic Group today. Vista Outdoor's financial advisors each delivered an opinion as to the fairness, from a financial point of view, of the consideration in the CSG Transaction to the stockholders of Vista Outdoor's common stock," Vista Outdoor said.

Vista Outdoor, a maker of outdoor sports and recreation products, described the MNC Capital's final indication as inadequate and opportunistic, particularly in its undervaluation of Revelyst.