Vista Outdoor urges stockholders to vote in favor of CSG transaction

Vista Outdoor reaffirmed its recommendation that Vista Outdoor stockholders vote in favor of the proposed merger agreement with Czechoslovak Group pursuant to which CSG will acquire The Kinetic Group for $1.96B in cash. Vista Outdoor remains confident that it will receive clearance from the Committee on Foreign Investment in the United States with respect to the proposed transaction with CSG and that all other closing conditions will be satisfied. This reaffirmation follows the withdrawal by the U.S.-based private investment firm of its indication of interest dated June 7, 2024, pursuant to which the alternative party would acquire The Kinetic Group for $2,008,500,000 in cash, on a cash-free, debt-free basis. Vista Outdoor understands the withdrawal was due to pressure from MNC Capital Partners. The Company has learned that MNC has alleged that the alternative party violated certain contractual agreements between the alternative party and MNC that purportedly restricted the alternative party’s ability to submit an offer for the Kinetic Group. Vista Outdoor only became aware of these agreements last week and understands they were entered into in connection with MNC’s and the alternative party’s consideration of a joint bid for The Kinetic Group as part of the prior sales process for that business in 2023. Vista Outdoor understands that the alternative party disputes the merits of MNC’s allegations.