The Acushnet Company, owner of the Titleist, FootJoy and Pinnacle brands, is being sold to a Korean group lead by Fila Korea and Mirae Asset Private Equity, and also including the National Pension Service of Korea and Korea Development Bank.
Since 1976, Acushnet has been part of Fortune Brands, but Fortune has signed "a definitive agreement" to sell Acushnet to the Korean group. Fortune Brands is receiving $1.225 billion for Acushnet.
When Fortune's interest in selling Acushnet was first revealed last year, there was initial speculation that Nike or Callaway might be interested. But later, most rumors about buyers focused on Asian companies. The Asian golf market is big and getting bigger fast.
"With our extensive knowledge and reach in Asia, we believe that the Acushnet brands have incredible new opportunities for growth in the emerging markets in Asia," Gene Yoon, Chairman and Chief Executive Officer of Fila Korea, said in a news release. Fila Korea is the worldwide owner of the Fila brand.
Once the sale is finalized, Acushnet, according to its announcement of the sale agreement, will "remain as a standalone company through separate operation from Fila Korea, with its worldwide headquarters remaining in Fairhaven, Mass., and led by (Wally) Uihlein and Acushnet's current management team."
In other words, don't worry Titleist fans, the only thing expected to change is the identity of Acushnet's parent company.
"The fact that Asia Pacific represents over 30-percent of the world's total golf equipment spending, and that South Korean golfers are among the most passionate and organized in the game, is testament to the significant investment in the Acushnet Company by the Fila Korea and Mirae group," said Wally Uihlein, Chairman and Chief Executive Officer of the Acushnet Company. "They recognize the strength of the brands and opportunities for growth particularly in golf's emerging regions."
The sale is expected to finalized in several months.
Since 1976, Acushnet has been part of Fortune Brands, but Fortune has signed "a definitive agreement" to sell Acushnet to the Korean group. Fortune Brands is receiving $1.225 billion for Acushnet.
When Fortune's interest in selling Acushnet was first revealed last year, there was initial speculation that Nike or Callaway might be interested. But later, most rumors about buyers focused on Asian companies. The Asian golf market is big and getting bigger fast.
"With our extensive knowledge and reach in Asia, we believe that the Acushnet brands have incredible new opportunities for growth in the emerging markets in Asia," Gene Yoon, Chairman and Chief Executive Officer of Fila Korea, said in a news release. Fila Korea is the worldwide owner of the Fila brand.
Once the sale is finalized, Acushnet, according to its announcement of the sale agreement, will "remain as a standalone company through separate operation from Fila Korea, with its worldwide headquarters remaining in Fairhaven, Mass., and led by (Wally) Uihlein and Acushnet's current management team."
In other words, don't worry Titleist fans, the only thing expected to change is the identity of Acushnet's parent company.
"The fact that Asia Pacific represents over 30-percent of the world's total golf equipment spending, and that South Korean golfers are among the most passionate and organized in the game, is testament to the significant investment in the Acushnet Company by the Fila Korea and Mirae group," said Wally Uihlein, Chairman and Chief Executive Officer of the Acushnet Company. "They recognize the strength of the brands and opportunities for growth particularly in golf's emerging regions."
The sale is expected to finalized in several months.
On the Web:
Read Fortune Brands' accouncement of sale agreement
AP: Acushnet to be sold to Fila Korea
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