KPS to sell TaylorMade to Centroid

Centroid Investment Partners has agreed to acquire TaylorMade from KPS Capital Partners.

Centroid Investment Partners has agreed to acquire TaylorMade from KPS Capital Partners. No financial terms were disclosed. DLA Piper and Kim & Chang provided legal counsel to Centroid on the deal while KPMG, Bain and Company and Caple Advisory acted as advisors. TaylorMade is a maker of golf equipment, balls, bags and accessories.

PRESS RELEASE

SEOUL, South Korea–(BUSINESS WIRE)–Centroid Investment Partners LC (“Centroid”), a Seoul-based private equity firm, announced today that it has signed a definitive agreement to acquire the TaylorMade Golf Company, Inc. (“TaylorMade”) from KPS Capital Partners, LP. Financial terms of the transaction have not been disclosed.

Established in 1979, TaylorMade is a leading global manufacturer of golf equipment, balls, bags and accessories with a #1 or #2 market position in most of its key categories and markets. For over 40 years, TaylorMade has brought innovative, high performance product technologies to golfers worldwide and has an unrivalled portfolio of athletes across the global tours including world #1 Dustin Johnson, Tiger Woods, Rory McIlroy, Tommy Fleetwood, Collin Morikawa, Rickie Fowler, Matthew Wolff, SH Park, Charley Hull, Maria Fassi, and Sierra Brooks.

Over the recent years, TaylorMade has experienced the highest growth rates in the golf equipment and ball industry. TaylorMade invested heavily in industry leading technologies, introduced revolutionary performance advances in equipment, achieved significant market share growth in golf balls, built new manufacturing and distribution facilities, and successfully refocused its marketing strategy, including the expansive build-out of one of the most advanced digital platforms in the business.

Jinhyeok Jeong, founder and CEO of Centroid Investment Partners stated:
“TaylorMade Golf is a transformational investment for Centroid. We were very excited to have the opportunity to invest in a global leader in golf. The industry is currently experiencing high demand, increased participation with strong long-term opportunities around the world. TaylorMade is an iconic brand with continued momentum across the key golf equipment categories and regions, especially the Korean and wider Asian markets.”

Korea is the third largest golf market, with the US and Japan being numbers one and two. Korea has been experiencing high annual growth since the 2010’s due to the influence of screen golf, and the new participation of younger generations and women golfers. Centroid has been keenly aware of the high-growth Korean market and is confident in its continued growth, along with other areas in the international golf market.

Completion of the transaction is expected later this year and is subject to customary closing conditions and approvals.

DLA Piper and Kim & Chang served as legal counsel to Centroid, and KPMG, Bain and Company, and Caple Advisory acted as advisors to Centroid.

About Centroid Investment Partners LC
Established in 2015, Centroid Investment Partners LC (“Centroid”) is a Seoul-based private equity firm. Since its inception, Centroid has established a proven track record of strategic buyout transactions in Korea across a diverse set of industries, with its most recent purchases of the South Springs Country Club, Kolon Advance Fiber, and Woongjin Booxen. Centroid creates value for its investor partners by strategically transforming companies to maximize profitability and competitiveness, while working closely with management and its diverse partners and professionals to advise on strategic growth.