Vista Outdoor Buys Foresight Sports
VSTO will pay $474 million plus up to $25 million in contingent incentives for the San Diego, CA-based, high-end golf simulator maker, valuing the company at about 10x EBITDA. Foresight is expected to bring in about $50 million in adjusted EBITDA this year on $100 million in revenues, and also brings $60 million in future tax benefits. The acquisition, which will be paid for with cash on hand and available liquidity from VSTO’s revolver, is expected to be immediately accretive to the bottom line, excluding transaction and transition costs. VSTO ended Q2 with $209 million in cash and its lowest ... Log in to view full article.