Cabela’s schedules shareholder meeting for Bass Pro deal

Last edited 9:11 a.m., June 6, 2017

Bass Pro Shops’ proposed acquisition of rival Cabela’s Inc. (NYSE: CAB) could be one step closer to reality.

The Sidney, Nebraska-based outdoor retail competitor announced this morning it filed proxy materials with the U.S. Securities and Exchange Commission to schedule a special shareholder meeting July 11. The topic of the meeting will be Springfield-based Bass Pro’s $5 billion takeover of Cabela’s, according to a news release.

Cabela’s officials are asking shareholders as of June 2 to vote for the purchase at $61.50 per share in cash. In April, the price lowered from the original $65.50 per share, or $5.5 billion, offer made in October. The news came alongside an announcement that Synovus Bank agreed to buy the financial arm of Cabela’s, World’s Foremost Bank. Synovus in turn plans to sell the division’s credit card assets to Capital One. The sale of the financial arm had been a sticking point with regulators.

With approval by shareholders, as well as other customary closing conditions, Cabela’s expects the deal to finalize in the third quarter, according to the release. Cabela's currently has 68.9 million outstanding shares, according to Nasdaq.com.

If completed, Bass Pro founder Johnny Morris would become CEO and majority shareholder of the combined private company. With Cabela’s, the Springfield company would employ roughly 39,000, a 19,000-employee increase from its current workforce, according to Springfield Business Journal archives.

Last month, Cabela’s reported first-quarter net income of $19.1 million, a 17 percent drop from $22.9 million a year earlier, according to a separate release.

CAB shares were trading at $54.15 as of 11:11 a.m., compared with a 52-week range of $45 to $63.60.