Cabela’s final bid may come next month, sources say - Merger Market
Cabela’s (NYSE:CAB) suitors are working towards final round bids for the outdoor retailer in late September, two sources briefed on the matter said.
The Sidney, Nebraska-based company has not yet provided formal guidance to prospective bidders for its retail and credit card businesses, said one of the sources, adding that the bid timeline could change. The same source noted that potential buyers previously had expectations that final bids would be collected in late August.
A Cabela’s spokesperson declined to comment.
A September bid date may be due, in part, to the credit card sale side of the transaction, the second source said.
Cabela’s is working to match up retail and credit card bidders into groups who will bid for the entire company with plans to form an operating partnership after the deal closes, this news service has previously reported. The intertwined deals have made the process to sell Cabela’s highly complex and time consuming.
Bass Prop Shops and private equity firm Sycamore Partners have been pursuing Cabela’s retail franchise, while banks are looking to pick up the company’s lucrative credit card business, this news service has reported.
Activist investor Elliott Management launched a campaign to push Cabela’s to sell in October 2015. Cabela’s announced in December that it had hired Guggenheim Securities to review strategic alternatives.