Kroenke Sports & Entertainment LLC is acquiring Outdoor Channel Holdings Inc. (Nasdaq: OUTD) for $220.7 million.
The purchase price works out to $8.75 per share. Before the deal was announced Outdoor closed at $7.47.
The channel broadcasts hunting, fishing, shooting and adventure programming. Outdoor Channel also owns Winnercomm Inc., which producer live sporting events and sports series for cable and broadcast television. The company also owns SkyCam and CableCam aerial cameras, which provide overhead camera angles for sporting events, including college and National Football League games.
Kroenke owns and operates the Pepsi Center, home of basketball team the Denver Nuggets; Paramount Theatre in Denver; Dick’s Sporting Goods Park, home of soccer team Colorado Rapids; the Denver Nuggets and the Colorado Rapids; and other assets, such as 24-hour television network Altitude Sports & Entertainment.
Outdoor Channel had previously entered into an agreement to be acquired by InterMedia Outdoors Holdings LLC for $8 per share in November. Kroenke submitted its bid on March 6. The company determined Kroenke’s proposal would provide more value to shareholders, and paid InterMedia a $6.5 million termination fee. The deal with Kroenke is expected to close in the second quarter.
Lazard is Outdoor Channel’s financial adviser; while Wilson Sonsini Goodrich & Rosati PC provided the company with legal advice. Allen & Co. LLC is Kroenke’s financial adviser; while Wachtell Lipton Rosen & Katz is acting as legal counsel.