[Alpha Biz= Paul Lee] Centroid Investment Partners is making another attempt to sell global golf brand TaylorMade, reopening the process to international investors after the originally selected preferred bidder, U.S.-based Old Tom Capital, faced difficulties in securing financing, according to an exclusive report by Seoul Economic Daily.
According to investment banking (IB) sources on April 22, Centroid has recently begun reaching out to multiple global IB firms to identify new potential buyers. The move follows Old Tom Capital’s failure to complete funding within the agreed timeline, despite having secured preferred bidder status with an offer of approximately $3.1 billion (KRW 4.5 trillion). Centroid aims to select a new preferred bidder and move forward with a deal by June or July this year.
The key variable in the renewed bidding process is the role of F&F, which holds a right of first refusal (ROFR). For global investors considering a bid, F&F’s preemptive right is expected to pose a significant hurdle. An IB industry source familiar with the deal said, “F&F has internally raised its indicative offer to around KRW 4 trillion, meaning that any new bidder would likely need to present a bid in the low- to mid-KRW 4 trillion range to secure TaylorMade.”
Some market observers interpret F&F’s move as a strategic maneuver aimed at discouraging potential competitors. By signaling a higher bid during the rebidding process, F&F could be attempting to deter participation from other bidders, while ultimately seeking to negotiate a lower acquisition price directly with Centroid.
Another key factor is the cautious stance of TaylorMade’s current management toward a potential shift in control led by a strategic investor. There are concerns about buyers lacking sufficient industry expertise, as well as the possibility of diluting the company’s existing independent management identity. As a result, F&F faces the additional challenge of demonstrating its ability to ensure a smooth post-merger integration (PMI).
Despite these uncertainties, IB industry insiders increasingly view F&F as the leading candidate, given its strengthened commitment to the acquisition. The company boasts a solid financial profile, generating annual operating profits of KRW 400–500 billion and posting net income exceeding KRW 400 billion last year, highlighting its strong cash-generating capacity.
F&F also benefits from having previously participated as a strategic investor when Centroid acquired TaylorMade, which reduces the additional financial burden required to secure management control. Assuming a total enterprise value of KRW 4 trillion, the cost for F&F to acquire the remaining low-40% stake needed for control is estimated at approximately KRW 1.8 trillion. The company has recently extended a KRW 1 trillion acquisition financing commitment letter (LOC) from lenders including Samsung Securities, further reinforcing its funding position relative to new bidders.
Market participants note that Centroid appears to have secured a form of downside protection in pursuing the rebidding strategy. With F&F demonstrating a clear willingness to raise its offer, Centroid may still have a reliable exit route even if no superior bids materialize.
메디컬투데이 Reporter Paul Lee(hoondork1977@alphabiz.co.kr)
[저작권자ⓒ 메디컬투데이. 무단전재-재배포 금지]
