After a summer of news about who was buying whom, fall started with a bombshell, when it was announced that Bass Pro Shops was moving forward with their purchase of Cabela’s for 5.5 billion dollars. 2016 should be called the year of the acquisition in the Shooting/Hunting Industry. The major players in our industry have been on a buying spree, with many companies diversifying into areas outside of their specific market. However, this purchase will probably affect the everyday shooter and hunter more than any of the other acquisitions combined.
The news is still trickling out on the purchase, but at the time of the announcement, the following was known about what we will see moving forward:
- Johnny Morris will continue to act as CEO, and will still be the majority shareholder.
- The purchase is supposed to close by the 2nd quarter of 2017.
- The deal was unanimously approved by the Cabela’s Board of Directors, but needs to be approved by Cabela’s shareholders.
- Cabela’s reward card holders will keep their points under the new company.
- Bass Pro has stated that they would like to leave the Cabela’s headquarters in Nebraska, but nothing was said about possible layoffs (if any).
Although we like Bass Pro Shops, we feel that the diversity of products, and product lines, in both store brands is enough of a difference for two shopping experiences. Our hope is that this is recognized and the ability to find the variety of products in both stores does not change that drastically. If anything, this may shore up the future of Cabela’s, which had seen some sales slipping recently.
We will publish more information as it becomes available.