Callaway Golf has agreed to sell its majority stake in Topgolf to Los Angeles-based private equity firm Leonard Green & Partners in a transaction that values the entertainment venue operator at approximately $1.1 billion.
The equipment giant first invested in Topgolf in 2006, drawn to its innovative model that turned traditional driving ranges into lively social destinations combining technology-enhanced gameplay with food and beverage offerings.
Callaway gradually increased its ownership to around 14% before completing a full merger in March 2021. Following a prolonged decline in the combined company’s stock price, CEO Chip Brewer signalled last year that the businesses would be separated.
That separation was finalised on Tuesday with the sale of Callaway’s 60% interest in the Topgolf business.
Though a Topgolf facility has yet to open in Ireland, it currently operates more than 96 venues across the United States and multiple international locations, including four in the United Kingdom, along with Australia, China, Germany, Austria, and Dubai, among others.
“As we considered various alternatives to separate Topgolf, including a potential spin-off transaction, we received interest from a number of parties,” Brewer said in a statement. “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. This transaction is highly attractive in that it provides the company with both significant proceeds and substantial upside in the continued growth of Topgolf.”
Callaway expects to receive roughly $770 million in net proceeds when the deal closes, which is anticipated in the first quarter of 2026. The transaction also includes the transfer of Toptracer, the ball-flight tracking and virtual gaming technology used at many Topgolf venues.
The divestiture marks the second major portfolio restructuring for Callaway this year. In April, the company sold its Jack Wolfskin outdoor apparel brand to Chinese sportswear conglomerate Anta for a reported $290 million, after acquiring the German label in 2019 for approximately $476 million.
Proceeds from both sales will be used to strengthen Callaway’s core golf equipment and apparel operations, reduce debt, and return capital to shareholders via share repurchases.
Following the separation, Callaway will revert to its original name, Callaway Golf Company, and refocus on its leadership position in the equipment space—holding the No. 1 share in U.S. club sales in 2024 and the No. 2 position in golf balls behind Titleist. The portfolio also includes Odyssey putters, TravisMathew apparel, and Ogio bags and accessories.
