ATK to Acquire Bushnell Outdoor Products

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OVERLAND PARK, Kan.— Bushnell Outdoor Products, which sells outdoor accessories, including eyewear brands Bolle, Serengeti and Cebe, has entered into a definitive agreement to be acquired by ATK (NYSE: ATK), an aerospace, defense, and commercial products company in Arlington, Va.

ATK will pay $985 million in cash, subject to customary post-closing adjustments. This represents a projected calendar 2013 EBITDA multiple of approximately 10 times. Bushnell's projected sales for calendar 2013 are approximately $600 million. As part of this transaction, ATK has secured a $900 million senior secured acquisition financing commitment. ATK will finance the acquisition through a combination of this new financing, borrowings under its existing revolving credit facility, and cash on hand.

The announcement was made today by Bushnell and MidOcean Partners, a middle market private equity fund, which together have made a number of strategic acquisitions that have created a broad portfolio of products targeted to the outdoor and sports enthusiast. The companies expect to complete the transaction during the third or fourth quarter of ATK’s fiscal year 2014.

Founded in 1948 by Dave Bushnell, the company has more than 10,000 customer accounts in more than 90 countries and employs approximately 1,100 worldwide. “I am very proud of what the Bushnell team has accomplished during our time with MidOcean Partners,” said Blake Lipham, Bushnell Outdoor Products president and CEO. “The passion we have for our brands, products and the enthusiasts we serve has allowed us to build one of the strongest consumer products portfolios in the outdoor industry. The opportunity to join ATK will give us the chance to take that passionate pursuit to the next level.”

“The Bushnell acquisition is consistent with ATK’s focus on establishing leadership positions in our core markets,” said Mark DeYoung, ATK president and CEO. “ATK will leverage Bushnell’s strong sourcing, marketing, branding and distribution capabilities and capitalize on Bushnell’s track record of successfully integrating acquisitions and delivering profitable growth.”