TaylorMade Golf has a new owner, with KPS Capital Partners LP purchasing the company -- as well Adams Golf and Ashworth -- for $425 million.
The news was announced internally to employees on Wednesday afternoon, completing a year-long search for a buyer.
The purchase follows an internal announcement in March that adidas AG would begin a formal separation process with TaylorMade Golf which began immediately and would conclude in October 2017. The KPS purchase should be completed in fall 2017, according to company communication.
The New York-based KPS Capital Partners manages $5.7 billion in investments in several companies, including Chassis Brakes International and Electrical Components International.
“TaylorMade is one of the preeminent golf equipment brands worldwide, with leading-edge products that consistently provide consumers a distinct performance advantage over the competition," said David Shapiro, a Managing Partner of KPS in an email to TaylorMade employees. "We look forward to working with Chief Executive Officer David Abeles, his management team and all TaylorMade employees around the world to build on this great platform by driving growth both organically and through strategic acquisitions. The combination of this iconic brand and KPS’ track record of working constructively with talented management teams to make businesses better will provide the ideal foundation for TaylorMade’s future growth.”
On Tuesday, TaylorMade formally announced Rory McIlroy had joined their professional staff with a full-bag deal reportedly worth $100 million. McIlroy joins Dustin Johnson, Jason Day, Sergio Garcia, Justin Rose and Jon Rahm as top-12 players in the world playing TaylorMade equipment.
In the same message to employees, TaylorMade CEO David Abeles thanked adidas for their ownership and stewardship of the company for nearly 20 years.
"This is a great moment to reflect on TaylorMade’s journey as a part of the adidas Group," Abeles said. "Being a part of adidas, since 1998, has been an incredible ride. Over the past 19 years TaylorMade has grown to become the innovation and performance leader in the golf industry, and has strengthened its market share position in all categories during this period.
"Our remarkable growth was made more possible because of adidas’ belief and support. I would like to thank Kasper and the wider team in Germany for everything they have done to help us be successful. We look forward to working closely with KPS and the adidas Group over the next several months to insure a smooth transition for TaylorMade."