Two well known Canadian Investors pickup Golf Town and its U.S. parent, while Golfsmith seeks bankruptcy protection
The headline earlier this summer was that Nike’s leaving the game, no longer going to make equipment, and Adidas is looking for a potential buyer for TaylorMade, and those speak to troubled perception of the sport of golf as exclusive and facing dwindling consumer demand.
It’s hurting and challenging the big box retailers in the space that sell gear and equipment as well, as news this morning Golfsmith out of the U.S., and parent of Canadian Golf Town is seeking bankruptcy protection from their creditors with up to $500 million in liabilities.
A lot of angles to this story, whether its overall demand for the sport, or brands like Nike and Under Armour impacted as one of their distribution networks will close stores to cut costs.
Also the Canadian angle, Golfsmith will sell Golf Town to Fairfax Financial and CI Investments.
Golf Town has 55 locations in Canada, but that footprint could be expected to shrink.