GolfSpy Barbajo Posted February 2, 2021 Share Posted February 2, 2021 Well, ain't this interesting. What do you say, GolfSpies? Reported by the New York Times: Exclusive: TaylorMade is for sale KPS Capital Partners has hired Morgan Stanley to run a sale of TaylorMade, the golf equipment brand, DealBook has learned. A deal could value the company at more than $2 billion; KPS bought it for $425 million from Adidas four years ago. Spokespeople for Morgan Stanley and KPS declined to comment, while TaylorMade was unavailable for comment. Tiger beat. Adidas sold the brand to KPS in 2017, as golf was falling out of favor and the German sportswear group sought to refocus on shoes and clothes. (It’s since tapped JPMorgan Chase to weigh a sale of its Reebok brand.) By the time KPS bought TaylorMade, the brand had struck a deal with Tiger Woods, who needed a club sponsor after Nike quit the business. When Mr. Woods signed the deal, he was struggling to make a comeback, but two years later he won the Masters. While TaylorMade has also inked deals with Dustin Johnson, Rickie Fowler, Rory McIlroy and others, its deal with Mr. Woods is a “key component to the strength and growth” of the brand, its C.E.O., David Abeles, said last year. Pandemic boom. Social distancing has been a boon for golf. Sales of golf equipment hit $1 billion in the third quarter of last year, up 18 percent from the year before. The last time the industry topped those levels was in 2008, the last year Mr. Woods won a major before his career was sidelined by injuries and scandal. PMookie, fixyurdivot and MaxEntropy 3 Quote What's in the bag: Driver: TSR3; DynaPWR Carbon FW Wood: DynaPWR 3-wood; TSR 2+ Hybrids: PXG Gen4 18-degree Utility Irons: ZX MkII 20* Irons:; 699/699 Pro V2 Combo; D9 Forged; MT86 (coming soon!); VIP 1025 V-Foil MB/CB; Wedges: RTX6 Zipcore Putter: HB Soft Milled 10.5; Newport Special Select; Willamette, BB8; 8802; MATI Monto Ball: Tour B RXS; Z-STAR Diamond; Triad Stat Tracker/GPS Watch: Follow @golfspybarbajo Link to comment Share on other sites More sharing options...
FrogginBullfish Posted February 2, 2021 Share Posted February 2, 2021 Very, very interesting, indeed.Sent from my Pixel 2 using MyGolfSpy mobile app Hopen2Score 1 Quote DRIVER PXG 0811XF GEN4 (10.5°) FAIRWAY WOODS PXG 0341XF GEN4 (16°) HYBRIDS PXG 0317XF GEN4 (19°), PXG 0317X GEN4 (22°) IRONS PXG 0311T GEN3 (5 - 9) WEDGES TAYLORMADE MG3 (45°, 50°, 55° TW Grind, 60° TW Grind) PUTTER PXG BATTLE READY ONE & DONE Link to comment Share on other sites More sharing options...
Berg Ryman Posted February 2, 2021 Share Posted February 2, 2021 An awesome piece of business by KPS from a profit standpoint, making 5 times return on investment if the sale goes through at that valuation. At a valuation of 2 Billion, who can play in that market to make the purchase make sense? I assume you'd see the usual names floated like UA, maybe NIke finds its way back in or the long rumored Tiger buys a company rumor comes true? Also wondering if the new buyer has plans to grow the portfolio much like Callaway has to expand outside of the golf hardgoods space. Gonna be a fun watch for sure. aerospace_ray, MaxEntropy and russtopherb 3 Quote In a Hoofer Lite bag TSR2, 10 degrees, A1 setting, Fujikara Speeder NX Blue 50-S Stealth, 15 degrees, VA Composites Nemesys 70-S E722, 19 degrees, Oban Devotion 80-S JPX 921 Hot Metal Pro 4-P, Nippon 950GH Stiff Flex CBX Zipcore 50* (bent to *49) and RTX Zipcore Tour Rack 54* (bent to *55), DG 115 Spinner, Tour Issue Staff Model TG 60*, Dynamic Gold 120 S300 SIK Golf Flo-C Tour B-XS (2022 Model) Link to comment Share on other sites More sharing options...
russtopherb Posted February 2, 2021 Share Posted February 2, 2021 1 minute ago, Berg Ryman said: An awesome piece of business by KPS from a profit standpoint, making 5 times return on investment if the sale goes through at that valuation. At a valuation of 2 Billion, who can play in that market to make the purchase make sense? I assume you'd see the usual names floated like UA, maybe NIke finds its way back in or the long rumored Tiger buys a company rumor comes true? Also wondering if the new buyer has plans to grow the portfolio much like Callaway has to expand outside of the golf hardgoods space. Gonna be a fun watch for sure. As soon as I saw the topic, my first immediate thought was "buy low, sell high". MaxEntropy, tony@CIC and aerospace_ray 1 2 Quote In my carry bag: ST-X 10.5* Kai'li Blue R Flex ST-Z 15* Kai/li Blue R Flex ST-Z 4h Linq Blue R Flex Launcher 5h Launcher CBX 6i-PW CBX 54* & 58* Huntington Beach #10 e12 Contact CURRENTLY TESTING - Mizuno Long Game Link to comment Share on other sites More sharing options...
Berg Ryman Posted February 2, 2021 Share Posted February 2, 2021 1 minute ago, russtopherb said: As soon as I saw the topic, my first immediate thought was "buy low, sell high". Is Taylormade the new Gamestop? My TED Talk goes live... here! GolfSpy Barbajo, tony@CIC, GaDawg and 5 others 8 Quote In a Hoofer Lite bag TSR2, 10 degrees, A1 setting, Fujikara Speeder NX Blue 50-S Stealth, 15 degrees, VA Composites Nemesys 70-S E722, 19 degrees, Oban Devotion 80-S JPX 921 Hot Metal Pro 4-P, Nippon 950GH Stiff Flex CBX Zipcore 50* (bent to *49) and RTX Zipcore Tour Rack 54* (bent to *55), DG 115 Spinner, Tour Issue Staff Model TG 60*, Dynamic Gold 120 S300 SIK Golf Flo-C Tour B-XS (2022 Model) Link to comment Share on other sites More sharing options...
Middler Posted February 2, 2021 Share Posted February 2, 2021 Who’s surprised? With private equity invested - it was just a matter of when, not if. cbeau166, Miboy62, tony@CIC and 1 other 4 Quote Titleist TSR2 11° HZRDUS Red CB 50 6.0 w Lamkin UTx Midsize Titleist TSR2 16.5º HZRDUS Red 60 CB 6.0 & TSR2 21º HZRDUS Black 4G 70 6.0 w Lamkin UTx Midsize Mizuno JPX923 HMP 4-GW, T22 54.12WS, T22 58.04DC w Lamkin ST+2 Hybrid Midsize Evnroll EV5.3 Maxfli Tour & ProV1 Ping Pioneer - MGI Zip Navigator AT Payntr X 002 LE, Ecco Biom C4, Payntr X 001 F (Mesh) Link to comment Share on other sites More sharing options...
Miboy62 Posted February 2, 2021 Share Posted February 2, 2021 It’s going to be something to who makes an offer to KPS that’s a whole lot of cabbage. Quote ZX5 MKII LS 8.5 Stealth 2 plus 3 wood Stealth 2 plus 5 wood Stealth 2 plus 19.5 Hybrid ZX5 MKll 5 / AW Dart stiff MG3 black 52 9b 58 12b 7.5 Phantom 34” Z Star Diamond 2023 Link to comment Share on other sites More sharing options...
jayjay0808 Posted February 3, 2021 Share Posted February 3, 2021 You have to respect what their leadership did in those 4 years to have the company increase in valuation by 400%... Bringing in Tiger, and then adding someone like Fowler for only a ball deal, pretty smart. Quote In my bag: Driver: Rogue ST Triple Diamond LS 10.5* (set to 9.5) UST Lin-Q Gunmetal 6f5 Wood: Tsi2 15* Project X RDX Black 70 6.5 Hybrids: King Utility 19.5* Diamana Tensei White Pro 90TX Irons: Cobra King Tour MIM 4-PW Dynamic Gold 120 X100 Wedges: Milled Grind 3 50*, 54*, 58* Tour Issue S400 Putter: Nashville Z1C 34" Ball: Pro V1x Link to comment Share on other sites More sharing options...
Nickesquire Posted February 17, 2021 Share Posted February 17, 2021 Love most TaylorMade products, especially their M2 and SIM wood lines. But WAY over valued and anyone forking out two billion $$$ will likely take a bath in red ink once the next golf industry downturn occurs. cbeau166 1 Quote Irons: Ping Rapture, Stand length, stiff shaft, black dot Driver: Taylor Made M2, 9.5 degree stiff shaft Right handed Rancho Mirage, CA Current index 9.6 Link to comment Share on other sites More sharing options...
fixyurdivot Posted February 23, 2021 Share Posted February 23, 2021 That is certainly BIG news within the golfing industry. Outwardly it suggests those at KPS believe it's time to take the profit. Is that an indicator (prediction) of a post pandemic bust for the golf industry? The Nike/Tiger angle as perspective buyers is certainly interesting. Phil and Tiger could probably scrounge up the $4B if they dig deep into their couch cushions. Wow, if Callaway were to purchase TM - what a behemoth they become. TM seems to have a pretty solid customer base and brand loyalty, so it will be interesting to see if, whoever buys them, keeps them intact or not. Quote G410 Plus, 9 Degree Driver G400 SFT, 16 Degree 3w G400 SFT, 19 Degree 5w ZX5 Irons 4-AW Glide 2.0 56 Degree SW (removed from double secret probation ) ER5v Putter (Evnroll ER5v Official Review) AI-One Milled Seven T CH (Currently Under Product Test) Link to comment Share on other sites More sharing options...
RickyBobby_PR Posted February 23, 2021 Share Posted February 23, 2021 36 minutes ago, fixyurdivot said: That is certainly BIG news within the golfing industry. Outwardly it suggests those at KPS believe it's time to take the profit. Is that an indicator (prediction) of a post pandemic bust for the golf industry? The Nike/Tiger angle as perspective buyers is certainly interesting. Phil and Tiger could probably scrounge up the $4B if they dig deep into their couch cushions. Wow, if Callaway were to purchase TM - what a behemoth they become. TM seems to have a pretty solid customer base and brand loyalty, so it will be interesting to see if, whoever buys them, keeps them intact or not. I don’t think it has anything to do with a post pandemic bust looming, but rather to your comment about taking the profit and getting out. They never had the intention of staying in it for the long haul. Quote Driver: PXG 0811 X+ Proto w/UST Helium 5F4 Wood: TaylorMade M5 5W w/Accra TZ5 +1/2”, TaylorMade Sim 3W w/Aldila rogue white Hybrid: PXG Gen2 22* w/AD hybrid Irons: PXG Gen3 0311T w/Nippon modus 120 Wedges: TaylorMade MG2 50*, Tiger grind 56/60 Putter: Scotty Caemeron Super Rat1 Ball: Titleist Prov1 Link to comment Share on other sites More sharing options...
fixyurdivot Posted February 23, 2021 Share Posted February 23, 2021 2 minutes ago, RickyBobby_PR said: I don’t think it has anything to do with a post pandemic bust looming, but rather to your comment about taking the profit and getting out. They never had the intention of staying in it for the long haul. Yea, perhaps not so much a "bust" but rather predicting the peak of the boom. Quote G410 Plus, 9 Degree Driver G400 SFT, 16 Degree 3w G400 SFT, 19 Degree 5w ZX5 Irons 4-AW Glide 2.0 56 Degree SW (removed from double secret probation ) ER5v Putter (Evnroll ER5v Official Review) AI-One Milled Seven T CH (Currently Under Product Test) Link to comment Share on other sites More sharing options...
ZenGolfer Posted February 24, 2021 Share Posted February 24, 2021 On 2/2/2021 at 2:38 PM, GolfSpy Barbajo said: Well, ain't this interesting. What do you say, GolfSpies? Reported by the New York Times: Exclusive: TaylorMade is for sale KPS Capital Partners has hired Morgan Stanley to run a sale of TaylorMade, the golf equipment brand, DealBook has learned. A deal could value the company at more than $2 billion; KPS bought it for $425 million from Adidas four years ago. Spokespeople for Morgan Stanley and KPS declined to comment, while TaylorMade was unavailable for comment. Tiger beat. Adidas sold the brand to KPS in 2017, as golf was falling out of favor and the German sportswear group sought to refocus on shoes and clothes. (It’s since tapped JPMorgan Chase to weigh a sale of its Reebok brand.) By the time KPS bought TaylorMade, the brand had struck a deal with Tiger Woods, who needed a club sponsor after Nike quit the business. When Mr. Woods signed the deal, he was struggling to make a comeback, but two years later he won the Masters. While TaylorMade has also inked deals with Dustin Johnson, Rickie Fowler, Rory McIlroy and others, its deal with Mr. Woods is a “key component to the strength and growth” of the brand, its C.E.O., David Abeles, said last year. Pandemic boom. Social distancing has been a boon for golf. Sales of golf equipment hit $1 billion in the third quarter of last year, up 18 percent from the year before. The last time the industry topped those levels was in 2008, the last year Mr. Woods won a major before his career was sidelined by injuries and scandal. Interesting but not surprising. Investment firms buy companies to sell them for a profit, not to run them. Hopefully someone buys Taylormade who can run them properly and keep them afloat. Vegan_Golfer_PNW 1 Quote "I suppose its better to be a master of 7 than to be vaguely familiar with 14." - Chick Evans Whats in my Sun Mountain 2.5+ stand bag? Woods: Tommy Armour Atomic 10.5* Hybrid: Mizuno MP Fli-Hi 3H Irons: Mizuno T-Zoid True 5, 7 and 9-irons Wedge: Mizuno S18 54* and Top Flite chipper Putter: Mizuno Bettinardi A-02 Ball: Maxfli Tour X Link to comment Share on other sites More sharing options...
knightsofnii Posted March 22, 2021 Share Posted March 22, 2021 I had to check the date to make sure this didn't coincide with Tiger's crash. Tiger should buy it. Proceeds to multiple foundations. I've seen MGS kick around thoughts that maybe Nike would buy it also? Who knows. They've had a great run though! Quote RADspeed 10.5, Evenflow Riptide CB 6.0s Bio Cell 3/4w, PXV 6.0s; AMP 3h 19deg Aldila RIP R. Bio Cell 4h 22.5deg PXV R. 2021/22 T200 5-7, T100 8-P (bent 1deg strong), LZ 5.5 CBX-2 50/11 ATV 56/16deg Impact No.3 Align putter Caddie for tracking. Pro V1X balls Previous forum tests: 2019: Golf Pride Tour Velvet Plus 4 grips, Lynx Black Cat 5-PW. 2020: LX5 Watch. 2021: Impact #3 Align putter Link to comment Share on other sites More sharing options...
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