Golf Equipment Maker TaylorMade Caught Up in Fight Over Who Owns It

There’s a battle brewing between two Korean entities over ownership of golf equipment and apparel maker TaylorMade.

F&F Co. Ltd., a South Korean fashion company, issued a statement Wednesday accusing a fellow TaylorMade investor—Seoul-based private-equity firm Centroid—of “unilaterally” launching a sale process for TaylorMade “without obtaining F&F’s prior consent, prompting serious concerns.”

Centroid announced in May 2021 that it was buying TaylorMade from U.S. PE firm KPS Capital Partners. Although financial details were not disclosed, a report from The Korea Economic Daily pegged the transaction’s value at 1.8 trillion won ($1.7 billion at the time), and said it represented the largest-ever acquisition in the golf equipment industry. F&F was not named in the press release as an investor, but that summer The Korea Economic Daily reported F&F had joined as a strategic investor and would ultimately obtain a 49.51% stake.

The Korea Herald reported in March that a sale of TaylorMade could value the business at up to 5 trillion won ($3.5 billion).

In Wednesday’s statement, F&F claims it is the largest investor in TaylorMade, that its intent has always been to acquire the company, and “that strategic direction remains unchanged.” According to F&F, as part of the 2021 deal, it secured “key” rights, including a right of first refusal for potential buyouts.

“F&F will take all available legal and contractual measures to hold the responsible parties accountable,” the company stated. “We remain steadfast in our original investment objective and will deploy all necessary resources to pursue this goal.”

Representatives for Centroid and TaylorMade did not immediately respond to requests for comment, while a representative for F&F could not be reached (the media contact email provided in the company’s press release bounced back).

A potential new owner is something TaylorMade is used to. The company, formed in 1979, has changed hands many times since its formation in 1979. The company was privately owned until 1984, when French sports equipment maker Salomon SA bought the company. Salomon was acquired by Adidas in 1997 in a deal worth up to 8 billion francs ($1.4 billion at the time), according to The New York Times. Adidas sold Salomon to Amer Sports in 2005, but the deal did not include TaylorMade.

For more than a decade, things remained static, before private equity got involved through a 2017 deal under which KPS Capital Partners purchased TaylorMade from Adidas. That deal, worth $425 million, saw KPS pick up TaylorMade, Adams Golf, and Ashworth.

In 2021, Centroid announced the acquisition of TaylorMade from KPS, beginning the cycle that led to the new dispute between Centroid and F&F.

TaylorMade, which sponsors some of the most popular pro golfers and is used by dozens of others, has had strong business performance in recent years, according to The Korea Herald, which said in its March report that revenues “surged from $943 million in 2020 to $1.44 billion in 2023, driven by the brand’s strategic push into the golf ball market.” In addition to Tiger Woods, Rory McIlroy, and Scottie Scheffler, so-called “Team Taylor” golfers include Nelly Korda, Brooke Henderson, and Sung Hyun Park.