Callaway & Topgolf announce merger

Callaway Golf Company, one of the golf industry's most successful operations with sales over $1 billion, has announced a merger plan with Topgolf. a thriving global golf entertainment company.

DELRAY BEACH, Florida – In one of the biggest acquisitions in golf industry history, Callaway and Topgolf Entertainment Group this week entered into a definitive merger agreement. Under the terms of the agreement, Callaway and Topgolf will combine in an all-stock transaction creating a global golf and entertainment company. The number of shares to be issued is based upon an implied equity value of Topgolf of approximately $2 billion, including the 14 percent already owned by Callaway.

The number of shares issued is also based upon a fixed price of Callaway common stock of $19.40 per share. Callaway will assume Topgolf’s net debt, which is estimated to be $555 million, resulting in an estimated enterprise value for Topgolf of approximately $2.5 billion. Callaway Golf President and CEO Chip Brewer will lead the combined company.

Before the national Covid-19 lockdown of this past spring, Topgolf had been actively seeking an IPO that had Wall Street valuing the Dallas-based company as high as $5 billion.

The merger is another step that takes Callaway Golf, which first invested in Topgolf in 2006, away from its core golf business and makes it a more diverse company, including the Jack Wolfskin and Travis Mathew apparel brands and luggage brand, Ogio.

Topgolf, a privately held company, says it generated approximately $1.1 billion in revenue in 2019 and has grown at a 30 percent compound annual rate since 2017.

Steve “Spike” Pike is a lifelong journalist whose career includes covering Major League Baseball, the NFL and college basketball. For the past 26 years, Spike has been one of the more respected voices in the golf and travel industries, working for such publications as Golfweek, Golf World and Golf Digest for The New York Times Magazine Group. In 1998, Spike helped launch the web site for the PGA of America. As a freelance travel and golf writer, Spike’s travels have taken him around the world. He has played golf from Pebble Beach to St. Andrews, walked the Great Wall of China, climbed an active volcano in the Canary Islands, been on safari in South Africa and dived with sharks off Guadalupe, Baja California. He lives in Delray Beach, Fla, and can be reached at

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