Bass Pro Shops May Buy Out Cabela’s!


April 22, 2016:
By Blake Alma,

On Tuesday, Bass Pro Shop announced that they would move forward with the bidding of buying out Cabela’s. Once this was announced, Cabela’s shares went up by over 6 percent making the share $52.51. On Wednesday, it went down to $51.60. In November, the “rumor” of Bass Pro Shops buying out Cabela’s was made, but now this process is being moved forward. Bass Pro Shops and Cabela’s are major competitors, but obviously Bass Pro Shop does seem to have the upper hand.

Reuters had recently reported that BPS has partnered up with Goldman Sach’s private equity firm to help provide the finical needs to purchase Cabela’s. The bid is undetermined at this point and will not be known for several months. Because Bass Pro Shops runs nearly 100 stores and Cabela’s runs 80 stores, this will be a tough bid. This bid will be likely a very high bid.

Also, this buyout of Cabela’s has the city of Sidney, Nebraska panic! Why is this so? The head-quarters of Cabela’s is located in this city. If this buyout happens, 2,000 employees will be laid-off. The city’s population is only 6,800.

In Fairfield, Ohio (near Cincinnati, Ohio) there is a Bass Pro Shops in a semi-deserted mall. Bass Pro Shops desired to move their somewhat poor location to West Chester, Ohio off I-75. However, Cabela’s had decided to construct a location less than 5 miles north of Bass Pro Shops’ desired location. This new Cabela’s location is in Liberty Township, Ohio. In the fall of 2015, the construction of this new Cabela’s was finished and is now open to the public. If Bass Pro Shops continues to pursue this new location, it will be a very large competition between the two stores. This may be one of the several reasons to this decision of buying out Cabela’s.


This article is also on survivallife.com, written by Blake Alma

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