Cabela's says it's exploring strategic alternatives

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U.S. hunting and fishing store chain Cabela's, under pressure from investor Elliott Associates, is exploring a sale and other strategic alternatives.

Shares of the company rose 4.5 percent to $49 in premarket trading on Wednesday. (Get the latest quote here.)

Privately held outdoor retailer Bass Pro Shops was looking to buy Cabela's, Reuters reported in November, citing people familiar with the matter.

Cabela's, whose quarterly revenue has missed analysts' estimates in five of the last seven quarters, has not set a time for completion of the process and said it could not assure that the move could result in a sale.

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After forecasting flat earnings per share growth for 2015, Cabela's said in October that it would restructure its business which included cost cuts and the sale of unproductive assets.

In October, investor Elliott Associates disclosed an 11 percent stake in Cabela's and asked it to explore strategic alternatives, including a sale to a private equity firm.

Elliott was not immediately available for comment.

The company, which has a market cap of about $3.25 billion, also runs a credit card business, through its wholly owned subsidiary, World's Foremost Bank.

Guggenheim Securities is Cabela's financial adviser for the strategic review and Sidley Austin and Koley Jessen are its legal advisers.