By Granth Vanaik

July 18 (Reuters) - Proxy advisory firm Glass Lewis has

recommended Vista Outdoor ( VSTO ) shareholders to vote in favor

of the proposed merger of the company's ammunition unit with

Czechoslovak Group (CSG), in a report seen by Reuters on

Thursday.

Glass Lewis, which previously recommended stockholders to

abstain from voting for the deal with Prague-based defense firm

CSG on July 23, wrote that the support would be "the best

option" to maximize shareholder value at this time.

"With CSG having further raised its offer price ... the

goalposts have moved with respect to the implied valuation of

the company as a whole," Glass Lewis said, adding that Vista

should be able to deliver on the turnaround efforts for its

outdoor products business.

The support comes days after another proxy advisory firm,

Institutional Shareholder Services, issued a recommendation that

stockholders should vote against CSG's deal as the bid from

another party, MNC Capital, appeared to be "a better

alternative".

Vista said on Thursday that Glass Lewis' support reaffirmed

its conviction that the CSG transaction was in the best interest

of stockholders.

MNC Capital declined to comment.

Vista and its ammunition unit, Kinetic Group, have been at

the center of a months-long bidding war saga between CSG and MNC

Capital, amid rising demand for military supplies since the

start of the Russia-Ukraine conflict.

The company has repeatedly advocated in favor of the

regulatory-approved deal with CSG, even as investors have begun

mounting pressure to accept MNC Capital's final offer of $42 per

share for the entire business.

Gates Capital Management, which owns about a 9.6% stake in

the company, sent a letter on Wednesday to the board signaling

its intention to vote against the deal with CSG.

The parent of Federal Ammunition and Remington Ammunition

has previously rejected MNC Capital's bid several times saying

it undervalued the company and its performance gear business,

Revelyst.