SPRINGFIELD, Mo. (WHAS11) – Bass Pro Shops and Cabela’s Incorporated announced they have entered into a definitive agreement to combine on Oct. 3.
Bass Pro Shops will acquire Cabela’s for $65.50 per share in cash, representing an aggregate transaction value of $5.5 billion.
In addition, upon closing Bass Pro Shops will commence a multi-year partnership agreement with Capital One, National Association, a wholly-owned national banking subsidiary of Capital One Financial Corporation, under which Capital One will originate and service the Cabela’s CLUB, Cabela’s co-branded credit card, and Bass Pro Shops will maintain a seamless integration between the credit card program and the combined companies’ retail operations and deep customer relationships. All Cabela’s CLUB points and Bass Pro Shops Outdoor Rewards points will be unaffected by the companies combining. Customers can continue to use their credit cards as they were prior to Monday’s announcement. Capital One intends to continue to operate the Cabela’s CLUB servicing center in Lincoln, Neb.
This business agreement came about, according to a news release, due to Bass Pro Shops and Cabela’s highly matching business philosophies, product offerings, expertise and geographic footprints of the two businesses. Bass Pro Shops and Cabela’s has a passion to serve outdoor enthusiasts and support conservation.
"This opportunity would not be possible without the contributions of the many wonderful Cabela’s, Bass Pro Shops and White River team members,” said Johnny Morris, founder and CEO of Bass Pro Shops. “All three companies are blessed to have been built by the extraordinary efforts of many tremendously talented, dedicated people throughout our respective histories, and we're thrilled to consider what the combined team can achieve going forward.”
The transaction agreements were unanimously approved by Cabela’s Board of Directors following a comprehensive review of strategic and financial alternatives.
The transaction, which is expected to close in the first half of 2017, will be completed through a cash merger and is subject to approval by Cabela’s shareholders, as well as regulatory approvals and other customary closing conditions.