News broke Tuesday that Bass Pro Shops is preparing a bid for the purchase of Cabela’s. The merger, first rumored in November, would transform the world of hunting and fishing like nothing else before it, as well as affecting the livelihoods of thousands of workers.
Reuters reported that BPS has partnered with Goldman Sach’s private equity firm to provide the financing needed to purchase Cabela’s. While the bid amount and a potential date for the purchase are still unknown, the report said BPS is facing competition from other unnamed buyout firms and has only begun the lengthy process required to buy Cabela’s. Competition is limited because firms are hesitant to purchase brands associated with firearms in the current political and legislative atmosphere, but it still exists.
The rumored buyout has residents of Sidney, Nebraska, site of Cabela’s corporate headquarters, in a state of panic. The outdoor company employs 2,000 of Sidney’s 6,800 residents. Analysts project that, if the BPS buyout takes place, the closure and consolidation of Cabela’s headquarters with Bass Pro’s is likely.
Shares of the company’s stock, however, were not discouraged by the news. Cabela’s stock rose 6.4 percent Tuesday to finish at $52.51. Total market capitalization was put at $3.6 billion, up from the then-total capitalization of $3 billion following the start of rumors in November.
Cabela’s is also exploring selling its credit card business.
Cabela’s was put on the sales path by Elliott Management, an activist investor who holds an 11 percent stake in the company. In October, Elliott Management disclosed its stake percentage in the company and called for it to “explore strategic alternatives.” Cabela’s has since reached out to private equity firms to solicit interest, according to Reuters.
For now the townspeople of Sidney can rest somewhat easily. The Dayton Daily News quoted Bass Pro spokesman Jack Wlezian as saying the company would not comment on “media speculation” about the potential purchase.
Privately held Bass Pro Shops, founded in 1971, operates 100 stores in the U.S. Publicly traded Cabela’s, founded in 1961, runs 80 stores. No word on what a merger would look like for those stores, particularly the ones that operate near one another.
Comparing Cabela’s to BPS is like comparing Macey’s to Walmart. Cabela’s is the Macey’s of outdoor stores and BPS is the Walmart. Cabela’s image, stores, customer service and products are so much better than BPS and have been for years.
As a shotgun sport shooter, Bass Pro’s ammo prices are WAY high. Go look for yourself, the least expensive box of target shotgun shells they sell is $6.99 and they rarely if ever go on sale. There are many quality shells that Cabela’s sells for $5.50 or less. They have some Winchester shells on sale right now for $50 a case of 10. Bass Pro doesn’t even sell by the case. No thank you, Bass Pro. Keep Cabela’s separate.
Cabelas started out as a mail order store and continues to have a superior mail order business. I don’t think bass pro can compare.
Cabelas is for sale i’ll be damn who said that
? and Bass Pro is going to buy them, i’ll still be damn who said that ?. Does anyone out have the answer to this to hot questions ?. Please share it if you know i would like to know.
I have shopped at both stores for over 40 years and have been pleased and disappointed in both. I don’t think either is better than the other but I will say that if you have not been to Bass Pro in Springfield, Mo. you are missing out. If you are within a days ride go it is worth the trip and take the family. You will be glad you did.
Bass Pro is just a Wal-Mart with a fish on the logo. Over priced, and not a ‘fishing ” store by any means.
There is no comparison between the two companies. Cabelas is all about quality and function, while Bass Pro Shop is all about being cool on the cheap. Cabelas products last 10yrs + , while Bass products look good but last a few years if that. If they merge avid sportsman will have lost one of their last bastions of quality and service.
Is it only about profits and > stock prices ? If so go ahead a gobble up Cabela’s and customer be damned!!
However, it will be interesting to see the reaction from the U.S. Justice Department to this acquisition.
Bad deal. There is no comparison of Cabela’s to any other store, retail or catalog. They are unrivaled in inventory, selection and service. Unfortunately, when an investment company looks at that, they see excess inventory and bloated payroll. Hence the call for “strategic options”. Consolidation with Bass Pro will change them. The vision of the Cabela family will vanish in corporate consoidation and the investment companies will make their money and go somewhere else. Doubt it? Look what happened to Eddie Bauer, LL. Bean, etc., etc. Last thing sportsmen need is another yuppie clothing store.
Eliott Managment should be put in front of a wall and shot.
They have been responsible for detroying more good companies with their greenmail schemes.
Both nice stores but I to believe Cabela’s has a much better slection
I love both stores. However, I always thought Cabela’s had a larger selection.
As long as Mack’s Prairie Wings exists, I couldn’t care less what other big box stores do.
If it ain’t broke don’t fix it. They need each other’s competition. They are both great stores. Each one is unique in its own way.
You don’t know how lucky you are to have either store . We have nothing like them in the UK.
Cabellas for fly fishing trout, and BPS for the beer drinkin bass catchers.
Dont like the idea..
I love bass pro shops way more than cabelas. Bass pro has great prices! The people working there are happy people and really take the time to get to know their customers! Cabelas prices are expensive and the employees only seem like they want to make a sale. Bass pro buying cabelas will probably be the best thing that could happen to cabelas. #bassprolifetimecustomer.
I hope this never goes through. BPS doesn’t hold a candle to the ” Worlds’ Foremost Outfitters.”
I hope this doesn’t happen. I like bass pro shops and think Cabelas will only make things worse.
What a sad day. BPS was never a decent hunting supplier and I feel this buyout will cheapen a good store
I never gone a go to Bass Pro Shop, I love Cabela’s
I’m smelling a monopoly.
BPS buying Cabela’s…. Sad day indeed!
BPS to Cabela’s is like K-Mart to Lowes/Home Depot! Cabela’s has always been about quality at a fair price; BPS has been about sellng cheap junk to whomever will buy it.
I agree with the others that Bass Pro has a lot of items that are if much lower quality than Cabela’s. And in reality since the Cabela’s sold the business there has already been a drop in clothing quality and selection-especially in the big and tall stuff.
This is a bad idea! Also bad for fisherman, hunters, and sportsman and outdoors sports like camping. Cabelas name always associated with quality products. BPS with cheap crap. These activist investors are ruining companies in the name of a fast buck.
BPS is just a bunch of overpriced junk. I make special 500 mile round trips just to shop at Cabelas. Have a BPS less than 1 hour away been in it twice, bought nothing either time.
I hope this doesn’t happen! BPS has gone downhill over the last few years while Cabelas has continued to rise! Cabelas has items that are actually useful to me as a hunter while BPS struggles with these items. Cabelas camo is ten times better than Redhead is as well. Everything I own comes from Cabelas because they get hunters and that things that hunters need to be successful in the field.
11% ~ talk about the tail waving the dog!
Cabela’s brand products ( clothes ) are so much better quality than Redhead. Readhead stuff sucks, it falls apart in no time. Cabela’s clothing lasts for years and fits much better too.
Bass Pro will ruin Cabela’s. Bass Pro has went down hill for sportsman and uphill for clothing and sportswear!! If they buy Cabela’s, I will turn my shopping over to Gander Mtn.
This would be bad for everyone, BP NEEDS competition
I hope this doesnt happen cabelas prices are better and they carry many choices of camo in medium tall size and medium tall in regular clothing as well. Basspro falls short of both
I think it’s great news Johnny will do a great job in combining the two entities
Like Radio said about the pie, “I want um both!”
I certainly hope that Cabela’s is able to resist this acquisition. Their stores are much better than anything BPS has to offer. I live in TN and the closest Cabela’s is in Louisville, KY. I stop every time I go by and also visit the one in Ft. Worth when visiting folks in TX. I especially like their gun vaults and wildlife displays! Go Cabela’s!
Never bought anything from Bass Pro, and, almost certainly, never will…
Cabelas is not what it used to be. Its venerable and looks like they will be bought out. Nothing stays the same.
Bass don’t sell as good of products and are flat out ignorant on backpacking
If this happens definitely won’t be shopping at BPS. Don’t like their customer service, don’t like most of their gear. And don’t like their warranty.
To be honest I can’t stand bass pro shop
Bass Pro the new Walmart of the Outdoor World. Guess I’ll be focusing most of purchases at places like Gander Mountain, Scheels, and Tackle Warehouse.
Why does anyone think this is good for the consumer? Less competition does not equal better prices or customer service. And why is some leverage firm with 11% stake calling the shots here? And we wonder why people don’t trust Wall Street and big banks. Can you blame them? I sure don’t.
And I agree that Cabelas is a few rungs up on the professional, knowledgeable side of things.
Let’s hope BPS doesn’t change anything at Cabelas. As a lifelong retailer I am very impressed with Cabelas .. customer service. You can get knowledgeable, enthusiastic help from the moment you walk in. Bass Pro is the complete other end of the spectrum. Bass Pro shop employees, if you can find one, rarely acknowledge your presence, and don’t seem to care if you buy or not. The BPS employees I’ve encountered in the San Antonio store seem almost inconvenienced if you ask for help
That’d be a damned shame. Always liked Cabelas a lot more than Bass, personally.