Defense contractor Alliant Techsystems Inc. (ATK) said Monday that it has completed its $985 million purchase of Bushnell Group Holdings, a maker of rifle scopes, night goggles and other outdoor accessories that promise to broaden ATK's civilian offerings.
The deal, which was announced on Sept. 5, closed Monday to give ATK a Kansas-based firm with about $600 million in annual sales, 1,100 workers, and a much broader line of civilian sporting goods.
Expanding the civilian sporting line has become increasingly important to ATK, which moved its headquarters to Arlington, Va. a few years ago, but still has large operations in Eden Prairie.
ATK, with $4.4 billion in 2012 sales, is best known as a defense contractor that makes precision guidance missiles, rocket boosters for NASA space missions, satellite components and ammunition for military and civilian rifles. In recent years, its traditional product line has been hurt by U.S. defense cuts and the cancellation of the space shuttle program.
"ATK is committed to expanding our product offerings," CEO Mark DeYoung said in a statement.
Bushnell, plus the June acquisition of rifle and shooting range product maker Savage Sports Corp., "positions ATK with a comprehensive product offering of ammunition, sporting arms and accessories. … [It also] creates an opportunity to expand into new and adjacent outdoor recreation markets," DeYoung said.
Bushnell will be integrated into ATK's Sporting Group division, which will be overseen by Group President Jay Tibbets. With the additional heft of Bushnell, the Sporting Group will account for 45 percent of total company revenues. Bushnell sells under 19 sporting brand names and boasts 10,000 customer accounts in 90 countries.
ATK's stock closed Monday at $110.65 per share, up $1.21.
