The American sports design and goods company Vista Outdoor has signed a deal to acquire the golf-simulator maker Foresight Sports for a hefty amount of $474 million.
Since its spin-off in 2015 from Orbital ATK, a company that now belongs to Northrop Grumman, Vista’s cash attainment of Foresight Sports marks its biggest acquisition.
Foresight Sports has already been in contact with Vista in the past. In July, Foresight signed an official domestic partnership with Bushnell, a rangefinder maker owned by Vista Outdoor’s then-parent company in 2013.
The deal is estimated to be done and dusted till FY 2022 Q3, but Vista wants the deal to be completed immediately and included in the earnings reports, estimating Foresight Sports’ 2021 net sales will reach around $100 million.
According to the release, the gross acquisition value includes a net current value of roughly $60 million in upcoming tax benefits.
Foresight Sports are popular in manufacturing golf performance analysis, entertainment, and game enhancement technologies, producing launch monitors that can cost up to $14,000, simulators, performance software, and mobility solutions.
Chris Metz, Vista Outdoor CEO, says the acquisition will help the company as “a leader in golf data collection” for the 36 million-plus U.S. golf participants. Golf is reportedly an $84.1 billion industry.
Vista Outdoor noted a 38% year-over-year rise in total sales to $663 million for its FY 2022 first quarter.
The retailer has also started manufacturing CamelBak water bottles and CCI bullets along with golf and other outdoor products.