Fear & Loading: Financial Moves at Vista Outdoor

by
posted on December 31, 2018
** When you buy products through the links on our site, we may earn a commission that supports NRA's mission to protect, preserve and defend the Second Amendment. **
vista.jpg

On Dec. 21, the Global Legal Chronicle reported Vista Outdoor—parent company of Federal Premium, CCI, Savage Arms, RCBS, Bushnell and many others in the firearm industry—recently secured a $40 million, second-lien term loan from Great American Capital Partners Finance. The news broke exactly a month after ABL (Asset-Based Lending) Adviser ran a story that detailed Vista entering, “…into new credit facilities consisting of a (a) $450,000,000 senior secured asset-based revolving credit facility, comprised of $20,000,000 in first-in, last-out (FILO) revolving credit commitments and $430,000,000 in non-FILO revolving credit commitments, (b) $109,343,000 senior secured asset-based term loan facility and (c) $40,000,000 junior secured term loan facility.” Maturity date of the latter agreement is Nov. 18, 2023.

The developments should have little or no effect on firearm enthusiasts. Vista Outdoor is publicly traded on the New York Stock Exchange, which makes the news important to executives and investors in the financial sector. It does, however, indicate the experts aren’t letting the “new norm” reflected in NICS background checks dampen their long-term economic forecast for the gun industry.  

Zacks Investment research predicted earlier this month, for example, that Vista Outdoor will report $505.44 million in sales for the current quarter, down 13 percent from the same period in 2017. Only two days later, the Fairfield Current detailed Laurion Capital Management’s purchase of Vista stock worth $196,000 (10,953 shares). The story also detailed other financial funds buying or adding to their holdings in the company, with Bank of Montreal Can increasing its investment by 262.4 percent, ClariVest Asset Management put in another $224,000 during the second quarter and United Services Automobile Association bought in during the third quarter with a new stake valued at $234,000).

November’s NICS checks indicate gun sales were down nearly 10 percent compared to the same month in 2017, although the figures show some interesting trends that have attracted the attention of investors.

 

 

 

Latest

Left A3 Bullpup Web
Left A3 Bullpup Web

Bullpup Your AR-15: The A3 Industries Triad Modular Bullpup Chassis

This chassis kit provides a handy way for AR fans to try a bullpup carbine on for size.

Hillsdale College & The Shooting Sports

Hillsdale College has invested in the Second Amendment and the shooting sports in a way that few schools have. At its John A. Halter Shooting Sports Education Center, collegiate shotgun and action pistol teams compete and build their firearm-handling skills.

Thompson/Center Arms Acquires Green Mountain Rifle Barrel Company

Thompson/Center Arms announced it has acquired the Green Mountain Rifle Barrel Company.

Teaching Liberty: Hillsdale College & The Second Amendment

At Hillsdale College, students don't just learn about the fundamental truths behind the Second Amendment. They also learn the practical side of the right to keep and bear arms.

Smith & Wesson Partners With Lipsey's On Line Of "Mountain Guns"

First applied to its Model 629 in 1989, the Smith & Wesson "Mountain Gun" is a lightweight and compact variant designed to be carried afield, and thanks to a partnership with Lipsey's, Smith & Wesson is bringing them back.

Pro-NRA & Second Amendment Supporter Dr. Michael Fuljenz Wins National Writing Award

Longtime NRA benefactor Dr. Mike Fuljenz, president of Universal Coin & Bullion, was honored by the Numismatic Literary Guild for his recent and timely article about the need to eliminate copper pennies.

Interests



Get the best of American Rifleman delivered to your inbox.