The leadership of CCI/Speer's parent company, Vista Outdoor, continues to back a plan where the Czechoslovak Group would acquire its ammunition manufacturing plants following months of negotiations with a firm that has proposed a different approach.

Vista Outdoor has rejected an unsolicited indication of interest from Dallas-based MNC Capital for a second time, according to one of two news releases issued Tuesday by Vista Outdoor.

MNC Capital is seeking to acquire Vista Outdoor’s ammunition plants as well as its recreational product segment called Revelyst, which includes brands such as Camelbak and Camp Chef.

MNC Capital is offering $37.50 per share for all of Vista Outdoor in an all-cash transaction. In March, Vista Outdoor declined an offer from MNC Capital for $35 per share, which was also an all-cash transaction.

“We firmly believe that our pending transaction with (Czechoslovak Group), which now includes an increased purchase price, and the separation of Revelyst as a standalone public company is the best path to drive greater value for our stockholders,” said Michael Callahan, chairperson of Vista Outdoor’s board in a news release issued Tuesday.

The new offer from Czechoslovak Group, “among other things, increases the base purchase price payable by (the Czechoslovak Group) for the acquisition of (the ammunition) business … by $50 million from $1.91 billion to $1.96 billion and increases the cash consideration payable to Vista Outdoor stockholders by $3.10 per share of Vista Outdoor common stock from $12.90 to $16 in cash, a 24% increase,” according to a Vista Outdoor news release.

“Based on the amended merger agreement with (Czechoslovak Group), Vista Outdoor stockholders will receive at the closing of the transaction … one share of common stock of Revelyst and … $16 in cash, in each case, per share of Vista Outdoor common stock,” according to a Vista Outdoor news release.

The ammunition segment of Vista Outdoor is called The Kinetic Group. It’s comprised of  CCI/Speer in Lewiston, Federal, Remington and HEVI-Shot.  

Together, they are the largest maker of ammunition in the United States. CCI/Speer is one of Lewiston’s largest employers.

Once the Czechoslovak Group transaction closes, Vista Outdoor’s ammunition operations would be part of a privately held company based in the Czech Republic.

The deal with the Czechoslovak Group is expected to be finalized by the end of the year if it’s approved by shareholders in a vote set for June 14 and gets clearance from the Committee on Foreign Investment in the United States (CFIUS).

The secretary of the U.S. Department of the Treasury is the chairperson of CFIUS that reviews certain transactions to determine their effect on the national security of the U.S.

The MNC deal wouldn’t be subject to approval from the committee because the company is based in the United States. MNC “is a group of 10 U.S.-based” investors led by Mark Gottfredson, a former Vista Outdoor board member, according to the Minneapolis Star Tribune.

“(Vista Outdoor) remains confident in its ability to receive CFIUS clearance for the transaction and that all other closing conditions will be satisfied,” according to a Vista Outdoor news release.

Williams may be contacted at ewilliam@lmtribune.com or (208) 848-2261.