By Ben Glickman

Vista Outdoor said Monday it had advised MNC Capital to up its bid to acquire the company as MNC looks to beat out a merger deal between Vista and Czechoslovak Group.

Anoka, Minn.-based Vista said it had provided MNC with certain non-public information, as allowed under its merger with Czech defense company CSG. Vista said it was in discussions with MNC and had advised the firm that it expects to receive a higher offer.

Vista shares rose 6.6% to $34.48. Shares are up about 17% so far this year.

MNC previously bid $37.50 a share in cash for Vista, up from an initial unsolicited offer of $35 a share, The Wall Street Journal reported. The $35-a-share offer valued Vista at $2.9 billion, including debt.

Vista Outdoor said Monday that it does not believe MNC's latest proposal is superior to its deal with CSG, and said it was still bound by the terms of the earlier deal.

Vista already agreed in October to merge its sporting-goods business with CSG in a cash deal valuing the unit at $1.9 billion. The deal followed the company's decision to spin off the business in 2022.

MNC is not the first attempted spoiler for the CSG deal. Firearm maker Colt CZ Group proposed a cash-and-stock deal in November, valuing Vista at $30 a share. That offer was rejected.

Vista's deal with CSG still must be cleared by the Committee on Foreign Investment in the United States, which reviews investments in the U.S. by foreign businesses. The company has previously said it expects the committee, called CFIUS, to make a decision on the deal in a matter of weeks.

The merger has faced skepticism from lawmakers, who cite concerns for national security. Last week, Sen. John Kennedy of Louisiana called on CFIUS to investigate the deal and said it would lead to excessive consolidation in the ammunition market.

Vista said Monday it was still confident it would receive clearance from the committee.

Write to Ben Glickman at

(END) Dow Jones Newswires

04-22-24 1348ET