BOSTON, Massachusetts – In golf business news, Callaway announced last week that it had reached a deal to sell its majority stake in Topgolf for $1.1 billion to Leonard Green, a private equity firm based in Los Angeles.
The news of the sale comes as little surprise, given that the companies had announced in late 2024 that they intended to split the companies up, stating at the time that each company’s business model would be better served operating independently.
Topgolf Callaway Brands reported $1.1B of net revenues for the second quarter of 2025, which was down 4.1% YoY. Both the Topgolf and golf equipment segments were slightly down compared to 2024, with $485.3M in revenue (down 1.8% YoY) and $411.6M (down 0.5% YoY) respectively.
Chip Brewer, CEO and president of Callaway, said in a statement that numerous parties were interested in purchasing Topgolf. The deal with Leonard Green will sell 60 percent of its stake in Topgolf and will include the Toptracer brand as well. Callaway will gain some $770 million in net proceeds.
“After a robust process and a thorough evaluation of a range of alternatives, we believe this sale is the best outcome for our shareholders, as well as our employees and other stakeholders,” Brewer said. “This transaction is highly attractive in that it provides the company with both significant proceeds and substantial upside in the continued growth of Topgolf.”
After initially acquiring Topgolf in 2021, the company changed its name and stock ticker to Topgolf Callaway and MDGO (meaning “modern golf”), respectively. Post-split, the name will become Callaway Golf Company and its stock ticker CALY. The company intends to refocus its efforts on its equipment brands: Odyssey putters, Ogio accessories and Travis Mathews apparel.
There are no plans yet for further acquisitions or brand expansion right now, given the intent to fully separate the businesses and double down on the equipment side of things. Brewer noted, however, that the company is looking into more customization of its products.
Callaway will still retain 40% ownership of Topgolf but will have no operational role in the company, though Callaway will also remain the exclusive golf equipment partner for Topgolf.
Once the transaction is final sometime early next year, Callaway plans to share further details about the financial specifics and their plans going forward.
