Callaway Sells Majority Stake in Topgolf to Private Equity for $770 Million

Callaway has agreed to sell a 60% stake in its Topgolf and Toptracer divisions to private equity firm Leonard Green & Partners (LGP) in a deal that values the Topgolf business at roughly $1.1 billion. The transaction will bring in about $770 million in net proceeds for Topgolf Callaway Brands, according to regulatory filings. The move is part of a broader restructuring plan the company had been pursuing since same-venue sales softened and former Topgolf CEO Artie Starrs stepped down in August.

Callaway and Topgolf originally merged in 2021 to accelerate the growth of the eatertainment brand, but separating the businesses is now seen as a way to sharpen strategic focus, streamline operations and better allocate capital. While the company initially explored selling as much as 80% of Topgolf, it ultimately selected LGP as a buyer because of the firm’s strong track record with high-growth consumer brands. The private equity group has backed chains such as Zaxby’s, Velvet Taco and previously Shake Shack.

Despite earlier declines, Topgolf’s performance has begun to rebound. The company posted slightly positive same-venue sales in the third quarter of 2025, driven primarily by its core guest segment — players who use one or two hitting bays — which accounts for 80% of annual revenue. Traffic in that category returned to strong double-digit growth, aided by value promotions like Sunday Funday and weekday discounts. Operational upgrades, including improvements to the digital channel and the rollout of Toast’s point-of-sale system, have also increased efficiency and boosted spending per visit.

The deal is expected to close in the first quarter of 2026. After the transaction, Topgolf Callaway Brands will rebrand as Callaway Golf Company and continue operating its core portfolio, which includes Callaway, Odyssey, TravisMathew and Ogio, while LGP guides Topgolf into its next phase of expansion.

Read the full press release here.