DALLAS--(BUSINESS WIRE)--MNC Capital Partners, L.P. (“MNC”) today announced it has increased its all-cash offer to acquire Vista Outdoor, Inc. (NYSE: VSTO) to $42.00 per share, or approximately $3.2 billion.
The revised proposal represents a premium of 55% to the VWAP from when Vista’s transaction with the Czechoslovak Group a.s. (“CSG”) was announced on October 16, 2023 to the last closing price before MNC’s initial offer on February 19, 2024. The revised offer is also an over 40% premium to the last closing price prior to MNC’s initial offer.
When MNC made its initial bid in mid-February, Vista’s shares were trading below $30 — at that time, the market reflected the acquisition of Kinetic by CSG. Yesterday, Vista shares closed at $33.78 — the shares would have closed significantly lower without the expectation that MNC would be continuing to pursue the acquisition of Vista. MNC’s revised proposal represents a premium of almost 25% to yesterday’s closing price.
Given MNC’s belief that its acquisition of Vista is in the best interests of shareholders, employees and national security, MNC decided to make one final effort for such acquisition by increasing its June 6, 2024 proposal from $39.50 per share all cash to $42.00 per share all cash. MNC said that it cannot see any possible basis or reason to further raise it.
MNC’s revised proposal is all cash, has no regulatory issues and is not subject to any financing conditions. MNC holds secured debt and equity commitments more than sufficient to close the transaction and stands ready to provide those to Vista.
MNC expects that the Vista Board will move forward expeditiously to sign a merger agreement on the terms proposed. MNC believes a definitive agreement can be executed in a matter of days.