ATK (NYSE: ATK) has wrapped up its acquisition of weapon accessory manufacturer Bushnell Group Holdings for $985 million cash.
Bushnell will operate under ATK’s sporting arm that is led by Jay Tibbets, senior vice president and group president, ATK said Monday.
ATK estimates the sporting group will represent 45 percent of its total revenue and commercial and international sales combined to account for approximately 50 percent of total revenue.
Mark DeYoung, ATK president and CEO, said the company intends to grow its presence in the ammunition, hunting equipment and outdoor recreation markets through the transaction.
“We are executing a focused integration strategy aimed at maximizing deal value, leveraging the strengths of our existing and new capabilities, optimizing common areas such as product development, sales, marketing and distribution, while minimizing the risk of operational and customer disruptions, ” DeYoung added.
The Arlington, Va.-based defense and aerospace company received a senior credit facility to finance the deal and expects the acquisition to increase its earnings per share in the company’s 2014 fiscal year.