Callaway Golf Company announced an agreement to buy apparel company TravisMathew for $125.5 million.
Although the deal is subject to a variety of standard closing conditions such as regulatory approvals, it is expected to be finalized in the third quarter of this year.
According to a Callaway release, net sales for TravisMathew in 2017 are projected to fall in the $55-$60 million range, $10-$15 million of which will count toward Callaway Golf’s second-half financials.
“We are very excited about this acquisition,” said Chip Brewer, president and chief executive officer of Callaway Golf. “With its golf heritage, culture of product excellence and double-digit growth in the golf and lifestyle apparel business.
“TravisMathew is a great fit with our business, brands, culture, and our strategy to grow in areas tangential to golf. We look forward to working with the TravisMathew management team to maximize this brand’s growth potential.”
Callaway Golf’s headquarters are located in Carlsbad, Calif., and TravisMathew will maintain its base of operations up the road in Huntington Beach.
TravisMathew has distribution in high-end country clubs, resorts, department stores and experiential retail locations.
