Capital One agrees to pay about $200 million for Cabela's credit card unit
Capital One agreed to pay about $200 million for Cabela's credit card unit when the outdoor gear seller is bought by rival Bass Pro Shops
The Lincoln Journal Star reports Capital One disclosed the price it will pay in a regulatory filing with the federal Office of the Comptroller of the Currency.
The purchase price is based on the difference between the assets and liabilities Cabela's credit card unit holds when it is acquired.
Bass Pro said Capital One would buy the credit card unit earlier this fall when it announced its $4.5 billion agreement to buy Cabela's.
Andrew Burns is an analyst with D.A. Davidson. He says the credit card unit's price seems low, so the deal likely includes a profit-sharing agreement between Bass Pro and Capital One.
Information from: Lincoln Journal Star, http://www.journalstar.com
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