Vista Outdoor is a leading manufacturer of outdoor sports and recreation products. The company produces a diverse portfolio of well-known brands for shooting sports, outdoor products, and outdoor cooking solutions. Vista Outdoor has gone through changes in ownership over the years, evolving into the company it is today.
A Brief History of Vista Outdoor’s Ownership
Vista Outdoor was formed in 2015 when outdoor products conglomerate ATK decided to spin off its sporting division from its aerospace and defense businesses. This move allowed ATK to focus on its core aerospace and defense segments, while the new Vista Outdoor specialized in sporting and outdoor merchandise.
The initial public offering (IPO) raised $400 million for ATK’s shareholders. Vista Outdoor became an independent, publicly-traded company trading on the New York Stock Exchange under the ticker symbol VSTO. Vista Outdoor was comprised of over 30 outdoor sports and recreation brands previously owned by ATK, including Federal Premium, Bushnell, Savage Arms, and more.
In mid-2015, shortly after the IPO, Vista Outdoor made its first major acquisition – buying CamelBak Products for $412 million. This added hydration products and packs to Vista Outdoor’s portfolio. More acquisitions followed in 2016, including Camp Chef and Jimmy Styks.
Over the next few years, Vista Outdoor continued to shape its brand portfolio through further acquisitions and divestitures to focus on its core outdoor products and shooting sports segments. Brands such as Bell, Giro, and Blackhawk were eventually sold off to streamline operations.
Vista Outdoor’s Current Ownership Structure
Today, Vista Outdoor operates as a publicly-traded company without a majority owner. Stock is traded on the New York Stock Exchange under ticker VSTO.
As of October 2022, Vista Outdoor has a market capitalization of approximately $1.25 billion. Vista Outdoor’s largest shareholders are investment management firms and mutual fund companies.
Some of Vista Outdoor’s major shareholders include:
- The Vanguard Group – 11.2% of shares
- BlackRock Inc. – 8.9%
- Gates Capital Management – 7.3%
- Franklin Mutual Advisers LLC – 5.5%
- Dimensional Fund Advisors LP – 3.9%
No single entity owns a controlling stake in Vista Outdoor. Top institutional and mutual fund holders own between 3-11% of the company’s stock. The remaining shares are held by smaller institutions and retail investors.
Vista Outdoor’s Executive Management Team
While Vista Outdoor doesn’t have a single majority owner, the company is run by an experienced executive management team.
Vista Outdoor’s CEO is Chris Metz. He assumed the CEO role in October 2019 after serving on Vista’s Board of Directors. Metz has over 25 years of experience leading major consumer brands and retailers.
Other key figures in Vista Outdoor’s management include:
- Greg Weaver, CFO – Joined Vista Outdoor in 2020 after serving as CFO for companies like TimkenSteel Corporation.
- Kelly Reisdorf, Chief Communications & Investor Engagement Officer – 20+ years overseeing communications, investor relations, corporate branding, and IR for companies including Arconic and Alcoa.
- Jason Vanderbrink, President, Ammunition – Previously served as President of Federal Premium and has been with ATK/Vista since 2004.
- Ben Sharpe, President, Outdoor Products – Experienced general manager and brand marketing expert with leadership roles at Camelbak and other outdoor brands.
- Scott Chaplin, Senior Vice President, e-Commerce – eCommerce veteran who joined Vista Outdoor in 2020 to lead online sales growth.
This executive team is focused on transforming Vista Outdoor into a more innovative, ecommerce-driven company focused on leadership in outdoor recreation and shooting sports markets.
Recent Events Impacting Vista Outdoor’s Ownership
While the makeup of Vista Outdoor’s ownership has remained relatively steady in recent years, some notable events have impacted its share price and ownership structure.
Spin-Off of Outdoor Products Business
In May 2021, Vista Outdoor announced plans to spin off its Outdoor Products segment into a new independent, publicly-traded company called Outdoor Products Group. This was completed in September 2021.
The tax-free spin-off distributed shares of the new company to existing Vista Outdoor shareholders while allowing both companies to thrive independently. Vista Outdoor maintained its core brands focused on shooting sports and ammunition after this separation.
$1.8 Billion Divestiture of Remington Ammunition
Vista Outdoor made headlines in late 2021 when it agreed to sell Remington Ammunition along with other associated brands for $1.8 billion to JJE Capital Holdings. Remington ammunition was part of the 2020 acquisition of Remington Outdoor Company out of bankruptcy.
The divestiture helped Vista Outdoor pay down debt while retaining some of Remington’s leading ammunition brands including Barnes Bullets and R1 1911 handguns.
Financial Performance Driving Ownership Decisions
Vista Outdoor’s ownership and make-up have evolved based on the company’s financial performance and efforts to streamline into the strongest outdoor recreation player possible.
By 2021, tactical portfolio brands focused on shooting sports and hunting made up over 85% of Vista Outdoor’s total sales. Performance of these brands has buoyed the stock and empowered the board’s strategic decisions around spin-offs and divestitures.
For FY2022 ending March 2022, Vista Outdoor reported:
- Annual sales rose 29% to $3.04 billion
- Gross profit margin increased to 35.1% from 31.1% year-over-year
- Ecommerce sales grew 50% and made up 22% of annual direct-to-consumer sales
Strong financial performance in Vista’s core brands reinforces its strategic focus on brands tied to shooting sports and outdoor recreation. The executive team continues to reshape Vista’s portfolio to maximize these segments through acquisitions and spin-offs.
Outlook for Vista Outdoor’s Future Ownership
It appears likely that Vista Outdoor will continue operating as a publicly-traded company without a single majority owner for the foreseeable future.
The company has stabilized its brand portfolio and streamlined operations to focus on higher growth and higher margin ammunition, shooting sports, and outdoor recreation markets. This approach led to strong growth and profitability in 2021 and 2022 that benefitted public shareholders.
Vista Outdoor may continue to make strategic acquisitions and divestitures to optimize its brand portfolio and expand its leadership in ammunition and outdoor recreation. The company also emphasizes investing for long-term ecommerce growth.
But a leveraged buyout or acquisition by a private equity firm does not look imminent given Vista Outdoor’s relatively small size compared to conglomerates like Clarios, Remington, and Vista Equity-owned Bushnell. Vista Outdoor seems poised to continue on its independent path as a publicly-traded company.
The executive team, led by CEO Chris Metz, has articulated a clear long-term vision focused on innovation and transforming Vista into the leading outdoor recreation company. Vista’s public ownership structure provides the flexibility and access to capital needed to pursue this vision and continue growing shareholder value over the coming years.
Frequently Asked Questions About Vista Outdoor’s Ownership
Who founded Vista Outdoor?
Vista Outdoor was not founded as a standalone company. It was formed in 2015 after being spun off from ATK, an aerospace and defense company that decided to separate its sporting goods and outdoor recreation businesses. Vista Outdoor contains over 30 brands previously owned by ATK and operated as part of its sporting group division prior to the spin-off.
Does Vista Outdoor pay a dividend?
Yes, Vista Outdoor pays a quarterly cash dividend to its shareholders. In FY2022, Vista Outdoor paid dividends totaling $0.68 per share. The company has consistently paid dividends since becoming publicly traded in 2015 after the ATK spin-off. Vista Outdoor’s dividend and capital allocation policy balances returning capital to shareholders while investing for growth.
Is Vista Outdoor owned by a private equity firm?
No, Vista Outdoor is currently a publicly-traded company without a controlling private equity or institutional owner. Top mutual fund companies like Vanguard and BlackRock are large Vista Outdoor shareholders, but no single entity owns more than 11% of the company’s stock. Vista Outdoor has been independent since being spun off from aerospace company ATK in 2015.
Who are the largest owners of Vista Outdoor stock?
The largest Vista Outdoor shareholders are institutional investment managers and mutual fund companies. As of late 2022, the top 5 shareholders were:
- The Vanguard Group (11.2%)
- BlackRock Inc. (8.9%)
- Gates Capital Management (7.3%)
- Franklin Mutual Advisers LLC (5.5%)
- Dimensional Fund Advisors LP (3.9%)
No single entity owns more than 11% of Vista Outdoor. The company does not have a majority owner.
What other companies does Vista Outdoor own?
Vista Outdoor owns over 35 leading brands focused on outdoor recreation, shooting sports, and outdoor cooking solutions. Some of its core brands include Federal Premium, CamelBak, Bushnell, Jimmy Styks, Bell, and Camp Chef. Vista Outdoor has streamlined its brand portfolio in recent years through strategic divestitures and spin-offs. It now focuses largely on shooting sports and outdoor recreation vs. defense.
Conclusion
In summary, Vista Outdoor operates today as an independent, publicly-traded company without a single majority owner. The company was formed in 2015 after being spun off from aerospace and defense conglomerate ATK. Vista Outdoor stock trades on the NYSE and ownership consists of institutional investment firms and mutual funds like Vanguard and BlackRock.
Vista Outdoor has shaped its brand portfolio in recent years through acquisitions, divestitures, and spin-offs. It now focuses largely on shooting sports and outdoor recreation brands following the spin-off of its Outdoor Products segment in 2021. Strong financial performance of its core brands continues to drive these strategic decisions around Vista Outdoor’s ownership structure and focus. The company appears well-positioned to continue on its current path as a publicly-traded company delivering innovation and growth in outdoor sports and recreation markets.