Textron buys Arctic Cat for $247 million

Jan. 25 (UPI) -- Textron Inc. said Wednesday it will acquire Arctic Cat Inc., maker of snowmobiles and all-terrain vehicles, for $247 million.

Textron, through a subsidiary, will begin a tender offer to buy all outstanding Arctic Cat shares at $18.50 per share. Arctic Cat stock on the New York Stock Exchange opened at $18.50 per share Wednesday, from $13.09 per share on Tuesday. The company, based in Minneapolis, employs about 1,600 people.

The company will be folded into Textron's specialized vehicle business, but the Arctic Cat name and brand will be maintained.

Textron, known primarily as a defense contractor, is headquartered in Providence, R.I., and has about 35,000 employees.