Vista sold the ammo business, $1.9B

[CCT125US]

Sounds like CSG is the real life Yuri Orlov from the movie Lord of War.

"CSG grew from the mass of decommissioned and surplus military goods and hardware that sloshed around Eastern Europe in the 1990s after the fall of the Soviet Union and the dissolution of the Warsaw Pact. A Czech national, Jaroslav Strnad, refurbished armored vehicles and sold them to armies abroad."

[HCM]

Hidebrand is currently the owner of Savage.

https://www.axios.com/2024/06/10/hil...ista-ammo-unit


Texas oil billionaire jumps into fight for Vista's ammo unit

JDH Capital, the investment group run by Texas oil billionaire Jeffrey Hildebrand, is the firm behind a new bid for Vista Outdoor's ammunition business, according to a source familiar with the matter.

Why it matters: JDH's surprise move comes as Vista is nearing a shareholder vote on a separate, $2 billion deal it struck for the unit with a Czech arms dealer that is currently under U.S. government review.

Zoom in: Vista said on Monday that it received an indication of interest from a "U.S. based private investment firm" for its ammunition business, known as The Kinetic Group, for slightly more than $2 billion in cash.

Vista did not name the bidder, which is also offering a $47.8 million break-up fee to the Czechoslovakia Group should Vista abandon its existing agreement.

Axios has confirmed the unnamed bidder is Hildebrand's JDH Capital. The FT was first to report the news.
JDH did not return a call seeking comment.

The firm's bid for Vista's ammo unit is a shade higher than CSG's $2 billion agreement for the division.
Catch up quick: After CSG signed its deal with Vista, investment group MNC Capital offered to buy the entire company, an offer that the U.S. firm raised last week to $39.50 per share, or more than $3 billion.

Vista has rejected the two prior MNC offers and on Monday, said it was rejecting the third unsolicited attempt as well.

Vista sells outdoor sporting gear and it sells ammunition to consumers and law enforcement agencies.
The company said it is confident it will receive government clearance of the CSG deal and that it would move its June 14 shareholder meeting to vote on the deal to July 2.

Editor's note: This story was updated to show that JDH Capital is the unnamed bidder for The Kinetic Group that Vista referenced in Monday's press release.

[No.6]

Vote delayed. I've seen too many scenarios large and small like this: votes are delayed or redone until the intended result is reached. Then, no more voting.

https://www.thefirearmblog.com/blog/...alled-44815333

(disclosure: I am not a shareholder)

[fatdog]

I don't know why the higher offer and desires of the PE's is not going to win out in this case.

[Borderland]

I buy Federal shotgun ammo by the case. I've noticed the price is dropping a little, not going up. I also reload some metal cartridges and Alliant powder has almost disappeared form the market. Occasionally you can locate it but it's about the most expensive powder out there. I understand there is still a shortage of CCI large rifle primers. Those are all Vista ammo related companies.

Seems there is still some profit to be made in that business but I think the consensus that it's at it's peak profitability is correct.

[Jim Watson]

Alliant powder has almost disappeared form the market.

Alliant put out a notice that due to the industry shortage of nitrocellulose, they were quitting commercial sales.
Everything going to government orders and gifts to foreigners, no doubt.

Strangely, some Alliant powders have been popping up on the market. Lots of loaders have discovered BE86.