Vista Outdoor Inc. (VSTO) has advised its shareholders to vote in favor of the proposed sale of The Kinetic Group business to Czechoslovak Group.
This recommendation comes after MNC Capital's attempt to acquire Vista Outdoor through an all-cash offer of $42.00 per share.
According to Vista, MNC's proposition significantly undervalues Revelyst Inc., the company's outdoor products division.
"Why would Vista Outdoor opt to sell Revelyst at a discounted price to an opportunistic entity like MNC, especially without undertaking a thorough process in an appropriate market environment as we did for The Kinetic Group?" stated Vista in a press release.
"Conversely, the transaction with Czechoslovak Group aligns with the Board's objective, which was announced in May 2022, to separate the businesses. This move is intended to maximize the value of Vista Outdoor's two business segments for the benefit of our stockholders," the release continued.
