Vista Outdoor Inc. announced the successful closing of its acquisition of Foresight Sports.
Foresight Sports and Bushnell Golf are expected to elevate each brand’s respective strengths, engage new users, expand into new segments of the golf technology market, and drive growth and brand awareness.
“It is a pleasure to welcome the team from Foresight Sports to the Vista Outdoor family,” said Vista Outdoor CEO Chris Metz. “Their hard work and pioneering innovation have permanently changed the golf tech landscape and, when combined with the strength of our Bushnell Golf brand, elevates Vista Outdoor to a market leader in this exciting category. Our portfolio now includes market-leading solutions in hardware development, golf data collection, game improvement, gamification, and golf accuracy. The market growth opportunities in this space, combined with its impressive operating margins, make our combined golf business a powerful financial engine for delivering value for Vista Outdoor’s shareholders now and into the future. The acquisition also further bolsters our reputation as the acquirer of choice in the outdoor industry.”
Foresight Sports’ GCQuad launch monitor has received Golf Digest‘s Editors’ Choice Award for Best Launch Monitor for four consecutive years, and the product has become the launch monitor of choice for PGA Tour players, top golf retailers and manufacturers, coaches and fitters. Beyond launch monitor technology, the company’s Sim-In-A-Box line of golf simulators represents anew category of compact, affordable indoor golf solutions with a leading share of the global simulator market after two years on the market.
Earlier this year, Vista Outdoor brand Bushnell Golf entered into an exclusive domestic partnership with Foresight Sports to bring pro-level launch monitor technology to the everyday golfer, amd available at BushnellGolf.com and select golf retail outlets nationwide this Fall.
Vista Outdoor paid a gross purchase price of $474 million, subject to certain customary closing adjustments and not including contingent incentives of up to $25 million that are payable upon the achievement of certain net sales targets. The gross purchase price includes a net present value of roughly $60 million in future tax benefits. For the calendar year 2021, Foresight Sports’ full-year net sales and adjusted EBITDA are expected to be approximately $100 million and $50 million, respectively. Vista Outdoor expects the transaction to be immediately accretive to earnings, excluding transaction and transition costs.
Vista Outdoor used cash on hand and available liquidity under its asset-based revolving credit facility to complete the transaction. PricewaterhouseCoopers Corporate Finance LLC served as financial advisor and Gunderson Dettmer LLP served as legal advisor to Foresight Sports. Reed Smith LLP served as legal advisor to Vista Outdoor in connection with the transaction.
Photo courtesy Foresight Sports