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Blog Exposure - Vista Outdoor to Sell Bollé, Cébé, and Serengeti Brands

LONDON, UK / ACCESSWIRE / July 11, 2018 / If you want access to our free research report on Vista Outdoor Inc. (NYSE: VSTO), all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=VSTO as the Company's latest news hit the wire. On July 09, 2018, the Company announced that it has inked a deal to sell the legal entities operating its Bollé, Cébé, and Serengeti brands ("Eyewear Brands") to a European private equity fund for approximately $158 million. Register today and get access to over 1,000 Free Research Reports by joining our site below:

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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Vista Outdoor most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

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The sale is part of the Company's strategic business transformation plan to allow Vista Outdoor to focus resources on pursuing growth in its core product categories of ammunition, hunting, and shooting accessories; hydration bottles and packs; and outdoor cooking products.

Deal Details

The purchase price represents a premium to the EBITDA multiple paid for Bollé, Cébé, and Serengeti as part of the Bushnell acquisition in 2013. Vista Outdoor expects to use the net after-tax proceeds of the sale to repay outstanding indebtedness. The transaction, expected to close within approximately 30 days to 45 days, is subject to regulatory approvals and customary closing conditions.

Divestiture will Provide Additional Resources to Reinvest in Vista Outdoor's Core Businesses

Commenting on the sale, Chris Metz, Chief Executive Officer (CEO) of Vista Outdoor, stated that the Company is pleased to have successfully reached an agreement to sell its eyewear and safety business at an attractive price. The business will have the opportunity to reach its full potential under new ownership. Metz further added that this divestiture is the first step in Vista Outdoor's transformation plan and will be the first of several potential asset sales that will significantly reduce Vista Outdoor's leverage and provide additional resources to reinvest in the Company's core businesses.

Vista Outdoor's Strategic Business Transformation Plan

On May 01, 2018, the Company announced its strategic business transformation plan, designed to allow the Company to focus resources on pursuing growth in its core product categories. The plan is a result of a comprehensive strategic review which began in November 2017. Vista Outdoor plans to focus on achieving growth through its market-leading brands in ammunition, hunting, and shooting accessories; hydration bottles and packs; and outdoor cooking products. The Company plans to explore strategic options for assets that fall outside of these product categories, including its remaining Sports Protection brands (e.g. Bell, Giro, and Blackburn), Jimmy Styks paddle boards, and Savage and Stevens firearms. Vista Outdoor expects that the execution of this process will significantly reduce the Company's leverage, improve financial flexibility and the efficiency of its capital structure, and provide additional resources to reinvest in core product categories, both organically and through acquisition.

About Vista Outdoor Inc.

Founded in 2015 and headquartered in Farmington, Utah, Vista Outdoor is a leading global designer, manufacturer, and marketer of consumer products in the growing outdoor sports and recreation markets. Vista Outdoor employs over 6,000 employees worldwide and has a diverse portfolio of well-recognized brands that provide a range of performance-driven, high-quality, and innovative products, including sporting ammunition and firearms, outdoor accessories, outdoor sports optics, golf rangefinders, and performance eyewear.

Stock Performance Snapshot

July 10, 2018 - At Tuesday's closing bell, Vista Outdoor's stock marginally dropped 0.42%, ending the trading session at $16.48.

Volume traded for the day: 401.81 thousand shares.

Stock performance in the previous six-month period - up 14.52%; and year-to-date - up 13.11%

After yesterday's close, Vista Outdoor's market cap was at $944.78 million.

The stock is part of the Consumer Goods sector, categorized under the Sporting Goods industry. This sector was up 0.5% at the end of the session.

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