Arctic Cat is a worldwide known organization that designs, engineers, manufactures and markets all-terrain vehicles. On January 25, 2017 Arctic Cat has signed a merger deal with Textron Inc to become part of Textron’s Specialized Vehicles business, while still keeping their recognized brand. Textron will obtain the Artic Cat brand with a cash offer worth $247 million, with the remaining shares being purchased at $18.50 per share.
Arctic Cat will be keeping their current manufacturing, distribution, and operational facilities while concentrating on amplifying the business. With Textron Specialized Vehicles obtaining Arctic Cat they have advanced them selves in the powersports industry, giving them the opportunity to not only expanded there product line up but also development, marketing, customer service, and dealer networks.
“Arctic Cat’s board believes that Textron’s offer delivers compelling and immediate value to our shareholders,” said Christopher Metz, Arctic Cat’s president and chief executive officer. “This transaction presents increased opportunities for the business to leverage our combined scale, accelerate growth and enhance product innovation in ways that will benefit our customers, dealers and employees.”
Textron Specialised Vehicles Inc. is a leading manufacturer in golf carts, utility and personal transportation vehicles, professional turf-care equipment, and ground support equipment. They are a worldwide company known for its aircrafts, defense, industrial, and finance business that provides innovative solutions and services. Being a multi-industrial company Textrons annual revenues are $13 billion with around 35,000 employees. Some of Textron brands are Bell Helicopter, Cessna, Beechcraft, Hawker, E-Z-GO, Cushman, Textron Off Road, Jacobsen, Dixie Chopper, Ransomes, and Safeaero.
“We are proud of the progress our team has made to lay the foundation for Textron to continue taking this company forward. Textron plans to build on Arctic Cat’s strong brand and history of innovation. We expect many Arctic Cat employees to benefit from expanded career opportunities as part of a larger, more diversified company. On behalf of the Arctic Cat board and management team, we thank our dedicated employees for their hard work, commitment and pride in making Arctic Cat an enduring competitor and beloved brand in the powersports market. We are excited about Arctic Cat’s future,” said Christopher Metz
This is a big step for the Arctic Cat brand moving forward in the powersports industry. Textron has committed to continue with long-term growth of Arctic-Cat and with the combined businesses they are positioned to being powersports industry leaders. We are interested to see what the outcome will be and excited to see what Textron Specialized Vehicles and Arctic Cat can put together.