London, England: The enticing possibility of Topgolf breaking into Asia has increased following the closing of a five-year US$175 million term loan and a five-year US$100 million revolving line of credit.
This deal signifies a US$175 million increase to Topgolf’s previous arrangement, allowing for greater financial flexibility as Topgolf executes on its plans to open venues throughout the United States and beyond.
“This credit facility supplies us with the capital we need to introduce the Topgolf concept to more cities and help grow the game of golf,” William Davenport, Topgolf’s Chief Financial Officer was quoted as saying by Golf Business News.
“We’re extremely pleased with the support shown by our banks, which signals their belief in our strategy and the strength of our company.”
JPMorgan Chase Bank, NA, RBC Capital Markets and SunTrust Robinson Humphrey, Inc acted as Joint Lead Arrangers and Joint Book Runners. JPMorgan Chase Bank, NA is acting as Administrative Agent for the credit facilities, and RBC Capital Markets and SunTrust Bank acted as Co-Syndication Agents.
This transaction follows Topgolf’s two acquisitions this year of World Golf Tour and Protracer as well as its announcement of receiving a major investment from Providence Equity Partners.
This summer, Topgolf opened its flagship location on the Las Vegas Strip, featuring four levels of entertainment with 108 hitting bays, two swimming pools, five bars, a concert venue, a Callaway fitting studio, a retail shop and more.
Topgolf currently has three locations near London – Surrey (Addlestone), Watford and Chigwell – and has plans to expand throughout the United Kingdom.