Landmark La Cañada Flintridge sporting goods chain
Vestis, which owns East Coast sports retailers Bob's Stores and Eastern Mountain Sports, said it will buy all outstanding shares of Sport Chalet for $1.20 per share. Vestis is owned by Philadelphia-based Versa Capital Management.
FOR THE RECORD
July 1, 4:47 p.m.:
An earlier version of this post said Vestis owns retailer Bob's Sporting Goods. It owns Bob's Stores.
Sport Chalet declined to comment on the sales price.
The iconic Southern California sporting goods retailer has struggled in recent years, battling back from the recession in an increasingly competitive market for sports gear.
With the addition of Sport Chalet's 51 stores, Vestis said it will have a national hold in the sporting-goods market. All three chains will keep their original names but combine sales lines, the company said.
Competing against retailers such as Big 5 and
"Sport Chalet greatly strengthens our position in the active lifestyle and outdoor categories, provides scale from which to grow, and diversifies our geographic footprint," said Mark Walsh, Vestis chief executive.
The price per share is a premium to Sport Chalet's recent trading price around $1.12 per share.
Sport Chalet will retain its president and chief executive, Craig L. Levra, who will report to Vestis from La Cañada Flintridge.
Founding members of Sport Chalet and some company executives have already agreed to sell their shares to Vestis.
The deal is expected to close during the third quarter.