CSG gets €1.8 billion bridge loan commitment for Vista Sporting buy

By Sara Rosenberg

New York, April 2 – CSG Elevate II Inc. has received a commitment for a €1.8 billion 364-day senior secured bridge loan to help fund the acquisition of Vista Outdoor Inc.’s Sporting Products business by Czechoslovak Group, according to a DEFM14A filed with the Securities and Exchange Commission on Tuesday.

UniCredit provided the debt commitment.

The bridge facility consists of a $1.1 billion euro equivalent acquisition tranche and a refinancing tranche in an amount equal to the lesser of the difference between €1.8 billion and the euro equivalent of $1.1 billion and €787 million.

The acquisition tranche is available to fund the cash consideration for the acquisition, to refinance existing debt of Vista Outdoor and to pay related fees and expenses.

The bridge loan will be reduced if any notes or term loans are issued or obtained.

In connection with getting the UniCredit bridge loan commitment, the company terminated a senior secured credit facilities commitment letter with JPMorgan Chase Bank and Commerzbank for a $660 million senior secured bridge loan, a $150 million asset-based loan committed by JPMorgan and an up to $450 million PIK facility committed by 4SM Investment Co. Ltd.

The transaction values the Sporting Products business at an enterprise value of $1.91 billion, on a cash-free, debt-free basis.

Closing is expected in 2024, subject to approval by Vista Outdoor stockholders, receipt of necessary regulatory approvals and other customary conditions.

The Sporting Products business (CSG Elevate) is an ammunitions company. Czechoslovak Group is a Prague-based industrial technology holding company, operating within five strategic business segments, including defense, aerospace, ammunition, mobility and business.

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