
The merger of Bass Pro Shops and Cabela’s has received the go-ahead from antitrust regulators, according to Fox Business and other sources.
In a filing with the SEC, Cabela’s said Wednesday the Federal Trade Commission informed the company earlier this week that it concluded its investigation of Bass Pro’s $4.2 billion buyout. Cabela’s shareholders will vote on the deal July 11.
The transaction, which is expected to close during the third quarter, is also contingent on the successful sale of Cabela’s financial unit to Synovus Financial, a bank based in Georgia, and Capital One Financial.
Bass Pro and Cabela’s initially agreed to a deal worth roughly $5.5 billion, but the outdoor retailers amended the merger after Capital One ran into regulatory hurdles over its plans to buy all of World’s Foremost Bank, a Cabela’s subsidiary.
Cabela’s agreed in April to be bought for $61.50 a share, down from the original purchase price of $65.50 a share. Under the new plan, Capital One will buy Cabela’s credit card business. Synovus will acquire the assets and deposits of World’s Foremost Bank.
In October, 2016, Bass Pro Shops founder Johnny Morris said the following:
"This morning it is with tremendous pride and humility that I share with you the great news that Bass Pro Shops and Cabela's have agreed to combine our two legendary brands to create a truly premier retailer in outdoor sporting goods. This merger of resources, experience and passion for the outdoors represents a unique opportunity for both organizations and their respective team members.
"For many years I have believed there is a remarkable strategic fit between our companies. The prospect of bringing together our time-tested, iconic outdoor brands: Cabela's — a leader in hunting, Bass Pro Shops — a leader in fishing, and White River Marine Group — a worldwide leader in boating, is very exciting!
"In my view this really is a 'once in a lifetime' opportunity for both of our companies and clearly provides the foundation to create a "best of the best" shopping experience for all outdoor enthusiasts worldwide for generations to come. I truly believe combining our two companies in this transaction will benefit our collective associates and our vendors while enabling us to enhance our service and expand our products to better serve our valued customers.
"I have enormous admiration for Cabela's and the remarkable brand and business they have built. Cabela's is a great American success story. Dick, Mary and Jim Cabela started the company at the family kitchen table when Dick decided to place an ad to sell fishing flies. From that humble start, the Cabela's family, along with a remarkable team of "outfitters" has grown to become one of the premier specialty retail companies. Today Cabela's nearly 19,000 outfitters operate 85 stores across the United States and Canada, offering merchandise and equipment for hunting, fishing, marine use, camping and many other outdoor activities as well as a best in class direct and e-commerce business.
"Both of our companies share a remarkably similar heritage, each starting very small and growing over time thanks to the hard work and passion of many remarkable team members. The combination of our two companies will honor and build upon this legacy. Bass Pro Shops has every intention of celebrating and growing the Cabela's brand. We will work hard to foster the qualities that customers love most about both Bass Pro Shops and Cabela's. The spirit of this agreement is about adding to our great brands and creating increased stability and opportunities for our team members."
What will happen to Bass Pro Shops and/or Cabela's stores?
It is business as usual at Bass Pro Shops and Cabela's and there will be no immediate impact to our stores.
What will happen to my existing Bass Pro Shops and/or Cabela's rewards, program points, and credit cards?
All Bass Pro Shops Outdoor Rewards and Cabela's CLUB points will be unaffected by the transactions and customers can continue to use their credit cards as they were prior to the transaction.
Bass Pro Shops recognizes the strength of Cabela's CLUB loyalty program, intends to honor Cabela's customer rewards and sees potential over time to expand the program in the combined company.
Following the transaction, Capital One will service Cabela's credit card business.
Where can I use my Bass Pro Shops or Cabela's gift cards?
At this time, Bass Pro Shops gift cards can be used at Bass Pro Shops stores and Cabela's gift cards can be used at Cabela's stores.
What will happen to the Cabela's brand?
Following the closing of the transaction, we intend to celebrate and grow the Cabela's brand, and will foster qualities that respective customers love most about both Bass Pro and Cabela's.