ANOKA, Minnesota (Reuters) – Minnesota-based ammunition maker Vista Outdoor Inc said on Thursday it plans to spin off its outdoor products business, which makes products including Bell helmets and CamelBak water bottles. , into a separate publicly traded company.
Post-split, the company’s outdoor products segment – known for brands such as hunting bike brand Quietkat – will be led by Vista chief executive Chris Metz. The new company will be headquartered in Bozeman, Montana.
Jason Vanderbrink, president of the company’s ammunition business, will be named Vista’s general manager. The company, which offers brands such as Remington and Estate Cartridge, will remain based in Anoka, Minnesota.
The tax-free separation is expected to be completed in 2023, Vista Outdoor said, adding that the divisions would be renamed at a later date.
Separately, Vista also reported a 36% increase in sales for the three months ended March 31 and posted adjusted earnings of $2.04 per share.
The company also added that it expects sales to be between $3.15 billion and $3.25 billion for fiscal 2023, up 5% from a year earlier, and said set an adjusted earnings target of between $7.00 and $7.75 per share.
Reporting by Shubhendu Deshmukh and Deborah Sophia in Bengaluru; Editing by Krishna Chandra Eluri