Czech bidder hikes Vista offer as ammo deal drama deepens

Zoom in: Vista Outdoors has two businesses: the Kinetic Group, which is the ammo business that CSG is trying to buy; and Revelyst, the outdoor gear unit that plans to separate as a standalone public company after the ammo deal.

• Vista said that in addition to the $2.15 billion CSG is offering for Kinetic, the Czech firm plans to buy a 7.5% stake in Revelyst for $150 million, which the company says gives the maker of Camelbak water packs a valuation of $2 billion.
• The Anoka, Minn.-based company said that Vista's board continues to recommend the CSG agreement and will hold a shareholder vote on the deal on Sept. 27.

Yes, but: The shareholder vote has been delayed six times since the start of the year, as MNC keeps raising its bid for the entire company. The latest offer is $43 per share, or $3.2 billion including debt.

• Vista argues that MNC's latest offer undervalues the combined value of Kinetic and Revelyst compared to CSG's revised bid.
• "The Board continues to recommend Vista Outdoor stockholders vote in favor of the proposal to adopt the merger agreement with CSG at the special meeting of stockholders," the company said in a statement.

The intrigue: On Friday, Vista also accused Gates Capital, the company's second largest shareholder, of being a "conflicted party."

• Gates has publicly supported MNC's effort to buy the company.
• The accusation of being conflicted stems from Vista identifying Gates as not just a large shareholder, but an equity partner in MNC's takeover offer.
• "Gates Capital's interests are not aligned with those of other Vista Outdoor stockholders," the company said.

What we're watching: If MNC continues the bidding war, look for the shareholder meeting to get delayed for a seventh time.