A private equity firm is deciding whether it will move forward with an initial public offering (IPO) for a country club operator that it took private five years ago. No decision has been made yet.
Apollo Global Management Inc. is weighing an initial public offering (IPO) for Dallas-based ClubCorp, the country club operator it took private in 2017, according to people familiar with the matter, Bloomberg reported.
Apollo is working with advisers on a process for ClubCorp, said the people, who asked to not be identified because the matter is private, Bloomberg reported.
The company could be valued at about $4.5 billion in an IPO, one of the people told Bloomberg. Apollo paid about $1.1 billion for the company, excluding debt, according to data compiled by Bloomberg.
The offering could happen this year, but no final decision has been made and the timing or valuation of the listing could change, the people said. A spokesperson for ClubCorp didn’t immediately respond to Bloomberg’s request for comment and a representative for Apollo declined to comment.
ClubCorp owns or operates more than 200 golf, country, sports and other types of clubs with more than 430,000 members, Bloomberg reported. Its courses include Firestone Country Club in Ohio and Mission Hills in California.
In Dallas-Fort Worth, ClubCorp’s portfolio includes a dozen clubs, such as Gleneagles in Plano, Stonebriar in Frisco and TPC Craig Ranch in McKinney. It was founded in Dallas in 1957 by Robert Dedman Sr., Bloomberg reported.
Golf enjoyed a resurgence of interest during the coronavirus pandemic, which led to some dealmaking in the space.
Callaway Golf Co. acquired Dallas-based driving range chain Topgolf Entertainment Group last year in a deal valued at $1.9 billion, while sporting goods company Vista Outdoor Inc. agreed to buy golf simulator maker Foresight Sports, Bloomberg reported.
In 2018, ClubCorp bought a controlling interest in Topgolf competitor BigShots Golf and last year opened its first Texas location north of Fort Worth near Texas Motor Speedway, Bloomberg reported.
Last week, BigShots Golf announced it will open a location at Firestone Country Club later this year.