Bass Pro Shops Buys Cabela’s for $5.5 Billion
Today, Bass Pro Shops announced they would acquire Cabela’s, a rival outdoor recreation retailer. Under the agreement, Bass Pro Shops paid $65.50 per share for the competitor, which represents an approximate cost of $5.5 billion.
While it had initially been reported that Cabela’s would attempt to spin off its credit card portfolio before selling the business, Bass Pro Shops will accept the Cabela’s CLUB co-branded card under this agreement, which is serviced by Capital One. Cabela’s CLUB points and Bass Pro Shops Outdoor Rewards points will be unaffected, and customers will be able to continue using their existing credit cards.
Started in 1972 by Johnny Morris, Bass Pro Shops remains a privately-held company run by founder.
In a press release, Bass Pro Shops said the driving force behind the agreement is the complementary business philosophies, products, expertise and geographic footprints. Bass Pro now controls three businesses that focus on serving outdoor enthusiasts: Cabela’s, a hunting leader; Bass Pro Shops, a fishing leader; and White River Marine Group, which focuses on boating.