Report: Bass Pro And Goldman Considering Cabela's Buyout

Shares of Cabelas Inc (NYSE: CAB) spiked higher by more than 4 percent Tuesday morning after Reuters reported a rival peer may have teamed up with a major private equity player to present a buyout offer.

Cabela's has previously opened its financial books to its peers and other buyers as part of a strategic review process which includes a potential sale of itself.

Related Link: Cabelas' Investors Shrug Following More Sale Chatter

Reuters, citing "people familiar with the matter," noted that Cabela's peer, Bass Pro Shops, has partnered with Goldman Sachs Group's private equity arm to prepare an offer to acquire the company.

By teaming up with Goldman Sachs' private equity arm, Bass Pro has the necessary financing to pursue an acquisition. However, other firms are interested in acquiring the retailer and the sale process is still in early stages.

Cabela's has also been eyeing a sale of its credit business which has also attracted interest among potential buyers.