NEW YORK, July 19, 2024 /PRNewswire/ -- Gates Capital
Management, Inc. ("Gates Capital Management" or "we"), an
event-driven alternative asset manager that beneficially owns
5,589,041 shares, or approximately 9.6%, of Vista Outdoor, Inc.
("Vista" or the "Company") (NYSE: VSTO), today reiterated its
opposition to the pending sale of The Kinetic Group to Czechoslovak
Group a.s. ("CSG") in a letter sent to the Vista Board of
Directors.
The full text of the letter follows:
July 19, 2024
Vista Outdoor Inc.
Attn: Board of Directors
1 Vista Way
Anoka, Minnesota 55303
Dear Members of the Board,
Gates Capital Management has been a long-term shareholder of
Vista Outdoor, and currently beneficially owns 5,589,041 shares, or
approximately 9.6%, of the outstanding common stock of the
Company. We are writing to the Board to express our continued
opposition to the proposed sale of The Kinetic Group to CSG.
We cannot understand how any shareholder would vote for a
transaction that we believe is certain to have less value than
either the $42 all-cash offer from
MNC Capital ("MNC") or the long-term value that could be created
through a tax-free spin-off.
We ask that Vista immediately release preliminary financial
results for its quarter ended June
2024, including an updated balance sheet, so that investors
can make an informed decision regarding the best path forward.
Finally, we believe Vista should set a new record date so that a
larger percentage of current shareholders are eligible to
participate in this important vote.
We continue to urge the Board to reconsider the transaction
being proposed to shareholders at the upcoming special meeting and
to act in the best interests of all shareholders by either securing
a materially higher price for the Kinetic Group, engaging with MNC
to sell the entire Company, or reverting to Vista's original
spin-off plan.
Sincerely,
Jeff Gates
Managing Partner
Gates Capital Management
About Gates Capital Management
Gates Capital Management is an event-driven alternative asset
manager for institutional and private clients globally. Gates
Capital was founded in 1996 and today has more than $2 billion in assets under management.
Further information is available at www.gatescap.com.
Cautionary Statement Regarding Forward-Looking
Statements
This press release does not constitute an offer to sell or
solicitation of an offer to buy any of the securities described
herein in any state to any person. The information herein contains
"forward-looking statements". Specific forward-looking statements
can be identified by the fact that they do not relate strictly to
historical or current facts and include, without limitation, words
such as "may," "will," "expects," "believes," "anticipates,"
"plans," "estimates," "projects," "potential," "targets,"
"forecasts," "seeks," "could," "should" or the negative of such
terms or other variations on such terms or comparable terminology.
Similarly, statements that describe our objectives, plans or goals
are forward-looking. Forward-looking statements are subject to
various risks and uncertainties and assumptions. There can be no
assurance that any idea or assumption herein is, or will be proven,
correct or that any of the objectives, plans or goals stated herein
will ultimately be undertaken or achieved. If one or more of such
risks or uncertainties materialize, or if Gates Capital
Management, Inc's ("Gates") underlying assumptions prove to be
incorrect, the actual results may vary materially from outcomes
indicated by these statements. Accordingly, forward-looking
statements should not be regarded as a representation by Gates that
the future plans, estimates or expectations contemplated will ever
be achieved.
Media Contacts:
ASC
Advisors
Taylor
Ingraham / Morgan Davis
tingraham@ascadvisors.com / mdavis@ascadvisors.com
203-992-1230
Investor Contact:
Paul Lucas
Managing Director
plucas@gatescap.com
212-626-0290
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SOURCE Gates Capital Management