Versa Capital’s Vestis Retail Group to Acquire Sport Chalet
Vestis Retail Group, which is owned by funds advised by Versa Capital Management and comprises Bob’s Stores and Eastern Mountain Sports, announced it has signed a definitive agreement to acquire Sport Chalet, a specialty sporting goods retailer with 50 stores in the Western United States.
Under the terms of the agreement, an affiliate of Vestis will commence a cash tender offer for all of the outstanding Class A and Class B shares of Sport Chalet for $1.20 per share.
The combination of Sport Chalet with Vestis’s East Coast-based retailers Bob’s and EMS will create one of the largest sporting goods retailers in the U.S., with more than 150 stores and $800 million in total sales for the 12 months ended December 31, 2013.
“We are very excited to add Sport Chalet to the Vestis portfolio – Sport Chalet greatly strengthens our position in the active lifestyle and outdoor categories, provides scale from which to grow, and diversifies our geographic footprint,” stated Mark Walsh, Vestis CEO.
Craig L. Levra, chairman of the board, CEO and president of Sport Chalet, will remain in his position as CEO at Sport Chalet and continue to run this business out of Los Angeles, reporting to Vestis CEO Mark Walsh. Vestis’s corporate headquarters will remain in Meriden, CT.
Vestis does not anticipate any Sport Chalet store closings as a result of this transaction. Sport Chalet, as is the case with Bob’s and EMS, will continue to operate under its existing brand name.