Vista Outdoor Inc. (NYSE:VSTO) shares are trading higher during the premarket session on Wednesday.
MNC Capital Partners, L.P. today announced it has increased its all-cash offer to acquire Vista Outdoor to $42.00 per share, or approximately $3.2 billion, representing over 40% premium to the last closing price prior to MNC's initial offer.
MNC's revised proposal offers nearly a 25% premium over yesterday's closing price, according to a press release.
According to Benzinga Pro, VSTO stock has gained over 23% in the past year. Investors can gain exposure to the stock via VictoryShares Small Cap Free Cash Flow ETF (NASDAQ:SFLO).
With the latest development, MNC raised its June 6, 2024 proposal from $39.50 to $42.00 per share, emphasizing no intention for further increases.
On June 10, the company released a statement saying MNC's indication of interest would not be more favorable to Vista Outdoor stockholders from a financial point of view.
"The revised proposal represents a premium of 55% to the VWAP from when Vista's transaction with the Czechoslovak Group a.s. ("CSG") was announced on October 16, 2023 to the last closing price before MNC's initial offer on February 19, 2024," MNC Capital said.
MNC expects that the Vista Board will move forward expeditiously to sign a merger agreement on the terms proposed. MNC sees a definitive agreement can be executed in a matter of days.
Price Action: VSTO shares are trading higher by 9.03% to $36.83 premarket at last check Wednesday.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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