PR89462

NEW YORK, May 12, 2021 /PRNewswire=KYODO JBN/ --

KPS Capital Partners, LP ("KPS") announced today that it has signed a

definitive agreement to sell its portfolio company, TaylorMade Golf Company,

Inc. ("TaylorMade" or the "Company"), to Centroid Investment Partners

("Centroid"), a Seoul, Korea based private equity firm. Financial terms of the

transaction were not disclosed.

TaylorMade is a leading global designer and manufacturer of golf clubs, balls,

bags and accessories with #1 or #2 market positions in most of its key products

and geographies. For over 40 years, TaylorMade has brought innovative, high

performance product technologies to golfers worldwide and is represented by

some of the world's best Professional Tour athletes in the game; including

World #1 Dustin Johnson, Tiger Woods, Rory McIlroy, Tommy Fleetwood, Collin

Morikawa, Rickie Fowler, Matthew Wolff, Sung Hyun Park, Charley Hull, Maria

Fassi and Sierra Brooks.

KPS acquired TaylorMade in 2017 from adidas AG in a highly complex global

corporate carve-out transaction involving the separation of shared facilities,

employees, distribution infrastructure and material commercial arrangements.  

TaylorMade was transformed under KPS' ownership into a fully independent,

focused golf equipment company that achieved market leadership in all its key

product categories and experienced the highest growth rates in the industry.

TaylorMade invested heavily in industry leading equipment technologies,

introduced a series of revolutionary new products, 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. As a result of these initiatives, the Company rapidly progressed from

generating material operating losses between 2015 and 2017 to substantial

growth in profitability each year under KPS ownership.

David Shapiro, Co-Founder and Co-Managing Partner of KPS stated, "TaylorMade

demonstrates KPS' ability to see value where others do not, buy right and make

businesses better. KPS recognized the value of the iconic TaylorMade brand, its

cutting-edge product portfolio, the talent of its world-class management team

and employees and the opportunity to align the Company's cost structure with

the market realities."

Mr. Shapiro added, "We congratulate and thank CEO David Abeles, TaylorMade's

management team and the entire organization for their tremendous dedication to

the brand and Company and their passion for the game of golf.  The Company is

well positioned for continued growth and industry leadership and is poised for

accelerated growth in the important Korean market as well as the rest of Asia

under Centroid's ownership."  

David Abeles, Chief Executive Officer of TaylorMade, added, "Our partnership

with KPS has been extraordinary. It has been inspiring and incredibly

productive to work with the team across the firm. From the beginning, KPS had

the vision to recognize the strength and potential of the TaylorMade brand and

business. Under KPS's ownership, TaylorMade has become a far better company by

investing in our operations, product technology pathways, product development

processes and, importantly, in our people. TaylorMade has never been better

positioned for future growth than we are today."

Paul Weiss, Rifkind, Wharton & Garrison LLP served as legal counsel and Morgan

Stanley and Allen & Co. served as financial advisors to KPS and TaylorMade.  

Completion of the transaction is subject to customary closing conditions and

approvals.

About TaylorMade Golf Company, Inc.

Headquartered in Carlsbad, California, TaylorMade is a leading manufacturer of

high-performance golf equipment, golf balls and accessories with

industry-leading innovative products like SIM2 metalwoods, SIM2 irons, P Series

irons, TP5/TP5X golf balls and Spider putters. A major force across the world's

professional tours, TaylorMade has an unrivaled athlete portfolio that includes

Tiger Woods, Dustin Johnson, Rory McIlroy, Tommy Fleetwood, Collin Morikawa,

Rickie Fowler, Matthew Wolff, Sung Hyun Park, Charley Hull, Maria Fassi and

Sierra Brooks.

About KPS Capital Partners, LP

KPS, through its affiliated management entities, is the manager of the KPS

Special Situations Funds, a family of investment funds with over $12.3 billion

of assets under management (as of December 31, 2020). For nearly three decades,

the Partners of KPS have worked exclusively to realize significant capital

appreciation by making controlling equity investments in manufacturing and

industrial companies across a diverse array of industries, including basic

materials, branded consumer, healthcare and luxury products, automotive parts,

capital equipment and general manufacturing.  KPS creates value for its

investors by working constructively with talented management teams to make

businesses better, and generates investment returns by structurally improving

the strategic position, competitiveness and profitability of its portfolio

companies rather than primarily relying on financial leverage. The KPS Funds'

portfolio companies have aggregate annual revenues of approximately $10.6

billion, operate 159 manufacturing facilities in 22 countries, and have

approximately 34,000 employees, directly and through joint ventures worldwide.

The KPS investment strategy and portfolio are described in detail at

www.kpsfund.com.

SOURCE: KPS Capital Partners, LP

CONTACT: Business Inquiries: KPS – 212.338.5100; Media Relations: David Wells

or Catherine Johnson – 646.818.9287