Bass Pro Shops and Cabela’s Inc. (NYSE: CAB) are free to combine after the Federal Reserve approved a crucial step this week.
The Fed informed Sidney, Nebraska-based Cabela’s on Wednesday it could move forward with the sale of its World’s Foremost Bank subsidiary to Synovus Bank, according to a U.S. Securities and Exchange Commission filing. The Georgia banking company plans to sell the division’s credit card assets to Capital One.
The SEC filing indicates all regulatory approvals have now been met. The Federal Trade Commission approved Bass Pro’s $5 billion purchase of Cabela’s in July, and later that month, Cabela’s shareholders gave the green light to the transaction.
According to the SEC filing, Bass Pro and Cabela’s cannot close the transactions earlier than Sept. 21 under the Fed ruling.
“We look forward to completing the transaction later this month,” Bass Pro founder Johnny Morris said in an emailed statement, noting the Fed’s approval “was an important day for our company, the outdoor community and for conservation.”
Cabela’s is expected to later issue a closing date, according to the SEC filing.
The acquisition proposed in October 2016 originally was expected to close in the first half of 2017. The companies granted multiple examination extensions to regulatory bodies, pushing back the expected closure date to the third quarter, according to Springfield Business Journal archives. The FTC ruling declared the deal would not create a monopoly.
Through the deal, Bass Pro would take Cabela’s private and nearly double its store count to 184 from 99. With the completion of the deal, Bass Pro would become the largest outdoor retailer by store count, outpacing its closest competitor Gander Mountain’s 150 locations. Morris is slated to become CEO and majority shareholder of the combined entity.
The companies reportedly have combined annual revenue of roughly $8.6 billion.
During the second quarter, Cabela’s posted net income of $28.3 million, a 25 percent drop from the same quarter a year earlier, according to a news release.
CAB shares rose by roughly 13 percent yesterday following the latest SEC disclosure. Shares were trading at $61.01 as of 11:14 a.m., compared with a 52-week range of $45 to $63.60.
Local developer plans renovations after investing $5 million in foreclosed property acquisitions.
As employees are more mobile and have a desire to work from home, Haden Long owner of Ellecor, explains office spaces are trending towards a more home-like feel. Things like shared work spaces, office pets, and cozy furnishings allow employees to be selective about where they work and become more effective as a result.
Every industry has to navigate trend shifts, but Scott Shotts of Missouri Spirits describes the changes in beverage industry as anarchy. Tried-and-true spirits rules are being ignored. Learn how the local distillery balances following the trends for product development with taking risks.
Kevin Wyas, founder of ECRI, started his first business at the age of 19, ran the business for 16 years before selling it. He recognizes the benefits of starting a business so young when he had relatively little to lose. "The stress and the uncertainty of this would be crippling," he says for somebody accustomed to a regular paycheck.
ighty percent of questions are common across industries, so you don't need industry-specific experience to do effective market research according to Debra Kassarjian, independent consultant and owner of DKInsights. As a matter of fact, she thinks there is a great deal to be gained from exchanging ideas outside of your industry.
Danny Collins, 37 North founder and guide, says the biggest leap they took in the first year was to purchase a vehicle. That major financial investment, however, allowed them to provide their outdoor guide services at a price point they felt was more appropriate.
Springfield Diner owner Ömer Önder sits down with a restaurant consultant who starts challenging the menu offerings."No bashful food." The blunt conversation is the launching off point to determine how the Mediterranean influence will affect the young restaurant's offerings in the future. Made to Order is an ongoing sbjLive documentary series in collaboration with Springfield Business Journal tracking the rebranding of a local restaurant.
Haden Long, owner of Ellecor, opened a retail home decor business five years ago in a traditional retail space. When the interior design side of the business took off, she decided to renovate a 100-year old bungalow to better show off product samples and installations.
Scott Shotts, partner with Missouri Spirits, says when they started in 2011 there were approximately 300 distilleries in the U.S. and now there are more than 3,000 so competition has grown significantly. Diversification of their business model has helped them succeed.
Matthew Blystone of Theta Float Spa had the financial means to start the unique business, but used crowdsourcing for pre-orders to determine market interest in addition to gathering a nice cash reserve before opening.
Avery Parrish with the Springfield Regional Arts Council explains how businesses can display local art in their spaces for a fraction of the price of investing in a permanent collection. The corporate partnership program allows a business to select from a customized portfolio of local artists' work curated based on the company's mission and aesthetic that can be switched out every six or 12 months.