Republican House member tasks Secretary Yellen to investigate CZ Groups buy of Vista Outdoors

[Suck My Glock]

https://www.msn.com/en-us/money/markets ... 1dd20&ei=8

Representative Clay Higgins, a member of the House Homeland Security Committee, has asked Treasury Secretary Janet Yellen to “thoroughly review national security concerns” in the proposed sale of a US ammunition manufacturer to a firm based in the Czech Republic.

The Louisiana Republican said in a letter that the sale of Vista Sporting Products to CSG would result in the firm controlling “nearly 70% of production capacity for primers in the Western world.” Primers are the component of a bullet that ignites the charge, sending the projectile down the barrel of a pistol or rifle.

“For these reasons, I request Cfius to carefully examine national security concerns of the proposed acquisition,” Higgins wrote in his letter to Yellen, adding that Cfius should also examine any “past or current relationship between CSG’s owners and foreign adversaries.” Higgins contended that CSG had “ties to Russia and China.”

Higgins cited Vista’s contracts to provide ammunition to the US Army, the FBI, the Secret Service, the Customs and Border Protection agency and local law enforcement agencies in his concerns about Vista’s ammunition business being sold to a foreign company.

In a Securities and Exchange Commission filing on March 4, Vista Outdoor, which also makes camping and sporting goods such as bike helmets and binoculars, disclosed that Cfius would need to clear the transaction. The company didn’t immediately respond to a request for comment on the Higgins letter.

A complicating angle to the proposed sale: Higgins said the deal could jeopardize the US Army’s ability to procure ammunition from its Lake City Ammunition Plant in Independence, Missouri. The plant is owned by the military but managed by one of two manufacturers — Olin Corp.-owned Winchester or Vista and its predecessors — that have traded contracts for the work since the plant’s founding in 1941, according to Higgins.

MNC Capital Partners LP submitted on Monday a rival bid for the company at $37.50 per share, valuing both the consumer products and ammunition manufacturing divisions of Vista’s business at about $3 billion. MNC said its offer would not be subject to Cfius review.

In a letter to their employees, Vista executives said that a previous offer from MNC of $35 per share was “an inferior path to the one we’re on by selling” the ammunition business to CSG, “and is not in the best interest of our stockholders.”

[Doc]

Making them choose between capitalism and national defense.

I think we know how this plays out.

[thom]

Ok how do we purchase stock in vista?

[QuietM4]

Ok how do we purchase stock in vista?

Traded on the NYSE, VSTO.

I bought into Vista back in 2019, and I’m up 302% since. It’s been a fantastic stock for me. Covid was awesome.

[Doc]

Ok how do we purchase stock in vista?

Traded on the NYSE, VSTO.

I bought into Vista back in 2019, and I’m up 302% since. It’s been a fantastic stock for me. Covid was awesome.

Make that money!!!!

[Suck My Glock]

So it looks like a Texas billionaire has stepped up to offer an American ownership counter-bid to CZ Group's attempt to buy Vista.

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

[xerts1191]

IMG_3579.GIF (486.26 KiB) Viewed 2417 times

[Suck My Glock]

Vista Outdoor's 2nd largest share holder has come out against the sale to CZ Group and wants to go with the all cash domestic offer.

https://www.msn.com/en-us/money/topstoc ... b61e3&ei=8


Vista Outdoor’s second-largest active shareholder, Gates Capital Management, announced it is opposing the $2.1 billion sale of The Kinetic Group to foreign-based Czechoslovak Group (CSG), citing a better all-cash offer.

Vista was set to approve the sale of its ammunition company to CSG after the Committee on Foreign Investment approved the deal on June 25, but now the support for the sale is up in the air. Gates Capital Management announced that it believes the sale of the entirety of Vista to U.S.-based MNC Capital would best benefit shareholders.