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Dick’s buys Golfsmith at auction for $70 million, according to report

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At a Friday bankruptcy auction, Dick’s Sports Goods was the high bidder for Golfsmith International Holdings Inc. The winning bid was in the neighborhood of $70 million, according to a Reuters report.

Also per the report: Dick’s intends to keep around 30 Golfsmith stores open and liquidate the rest. At the time of last month’s bankruptcy filing, Golfsmith operated 109 stores in the U.S. The filing also revealed the company owed nearly $200 million in outstanding loans or credit facilities.

Golfsmith, which opened its doors in 1967, is expected to retain about 500 employees after the closures.

Dick’s winning bid also included Golfsmith’s intellectual property and existing inventory. The auction still requires the approval of a U.S. bankruptcy court judge.

The Coraopolis, Pennsylvania-based sporting goods giant still owns and operates Golf Galaxy, and it isn’t immediately clear whether Golfsmith or Golf Galaxy will be folded into the other.

According to Golf Digest’s Mike Stachura, the sale represents a departure from what most expected for the equipment seller.

“The Reuters report says Dick’s bid for Golfsmith was $70 million and included all of Golfsmith’s intellectual property and inventory. That figure is some $26 million less than what Golfsmith was purchased for in 2012. The move seems a dramatic shift from what a source familiar with the plans at Golfsmith was laying out just a month ago. At that time, the source said Golfsmith was considering leaner future stores than the 20,000 square foot and larger megastore model it had been exploring.

Stachura also pointed out that the auction purchase comes a little more than two years after Dick’s showed 500 PGA pros under its employ the door (the report of which was the most commented on article in our site’s history). 

Dick’s stock is up 62.15 percent year to date.

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16 Comments

16 Comments

  1. dennis troilo

    Nov 11, 2016 at 12:28 pm

    What a shame. Now just a very few indys left. Dick’s is a nightmare of a store. I know, I worked for them via Golf Galaxy for a while. A horrible company with no care at all for the customer. It’s all about the $$$.

  2. Grizz01

    Nov 7, 2016 at 6:50 pm

    Golfsmith store in Beaver Creek Ohio is closing. Just announced. There is a Golf Galaxy about 3 miles south and a Dicks across the street from Golfsmith. must be liquidating the Golfsmith brand.

  3. Bert

    Oct 24, 2016 at 8:31 pm

    Richmond, VA two stores within one mile. My bet is the new Golfsmith store will survive and they will close the Golf Galaxy.

  4. John M.P. thirty-three

    Oct 24, 2016 at 8:27 pm

    Visited my golfsmith tonight. No special deals but they’ve stopped restocking shelves. Noticeable in the ball section.

  5. jc

    Oct 24, 2016 at 7:22 pm

    I work near cerritos and that had a giant clearance sale…everything gone….we have new big one in upland..who knows…the only other store out that way is roger dunn, with a much smaller store…one hitting bay compared to the 6 at golfsmith.
    In santa ana, there is a huge roger dunn but all the las vegas golf and nevada bob’s were run out by the giant stores. Hard to imagine that dick’s had more money than golfsmith.

  6. gwillis7

    Oct 24, 2016 at 5:53 pm

    This is sad to see…was in local Golfsmith last week and it was bare bones compared to what it normally is (clubs still there, but clothes was 1/4 of what it used to be, lots of empty space). Hope they keep it open but it doesn’t look good…

  7. Mikee

    Oct 24, 2016 at 12:12 pm

    Trade in your clubs thru http://www.2ndswing.com

  8. DukeOfChinoHills

    Oct 24, 2016 at 11:39 am

    In Southern California, I have more than five different stores within an hour drive of me. I’m sure at least 3 of those will close now. Tougher to find deals now.

  9. Nate

    Oct 24, 2016 at 11:31 am

    I have a feeling that his acquisition is more about the intellectual property and less about the Golfsmith stores and inventory. The margin’s that Dick’s gets off their low price house brands is ridiculously high. Eliminate the other house brands and profits will increase.

    Other then the closer of 79 stores I do not see this hurting the golf retail industry. It really only hurts those who were employed at the 79 stores. Other than house brands all of the equipment is price protected. Only thing as a consumer you lose is higher trade in value of your current clubs, because Dick’s has always low balled everyone.

    I wonder what is going to happen with GolfTec, since I believe they are a separate entity from Golfsmith and just “rented” space in each store.

  10. Nate

    Oct 24, 2016 at 10:57 am

    Golf Galaxy and Golf Town (Canada) were sister companies. Dick’s buys Golf Galaxy, Golf Town still separate. Golf Town buys Golfsmith, and starts to put things back to how Golf Galaxy was ran before Dick’s. Dick’s buys Golfsmith.

    I have a feeling that this purchase was more for the intellectual property rather than the company itself. I have a feeling that the house brands of Golfsmith will go away and be replaced with the Dick’s house brands instead. That is if they keep the Golfsmith name. Personally I would rather see the Golf Galaxy name appear on them, but that is just because it would annoy a few individuals who work at Golfsmith who previously worked at Golf Galaxy/Dick’s.

  11. Tom

    Oct 24, 2016 at 10:40 am

    Hey whatya know a conglomerate

  12. Steve S

    Oct 24, 2016 at 10:11 am

    Not good for the consumer. Having a Golfsmith near a Golf Galaxy was great for me. Now Dick’s owns Golf Galaxy, Golfsmith, and Golfworks. I wonder how much inventory will be moved to Galaxy and how much “liquidated” in the store vs. shipped to 3Balls and others.

    • Dat

      Oct 24, 2016 at 2:35 pm

      Pretty much this. The cheap iron sets get shipped to 3balls along with other misc clubs. The decent stuff stays in store and doesn’t sell for ages unless it’s a deal (10% or less qualifies as a deal).

  13. Doug A

    Oct 24, 2016 at 9:56 am

    I think this is a good thing. Hopefully they can stabilize now.

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19th Hole

Vincenzi’s 2024 Zurich Classic of New Orleans betting preview

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The PGA TOUR heads to New Orleans to play the 2023 Zurich Classic of New Orleans. In a welcome change from the usual stroke play, the Zurich Classic is a team event. On Thursday and Saturday, the teams play best ball, and on Friday and Sunday the teams play alternate shot.

TPC Louisiana is a par 72 that measures 7,425 yards. The course features some short par 4s and plenty of water and bunkers, which makes for a lot of exciting risk/reward scenarios for competitors. Pete Dye designed the course in 2004 specifically for the Zurich Classic, although the event didn’t make its debut until 2007 because of Hurricane Katrina.

Coming off of the Masters and a signature event in consecutive weeks, the field this week is a step down, and understandably so. Many of the world’s top players will be using this time to rest after a busy stretch.

However, there are some interesting teams this season with some stars making surprise appearances in the team event. Some notable teams include Patrick Cantlay and Xander Schauffele, Rory McIlroy and Shane Lowry, Collin Morikawa and Kurt Kitayama, Will Zalatoris and Sahith Theegala as well as a few Canadian teams, Nick Taylor and Adam Hadwin and Taylor Pendrith and Corey Conners.

Past Winners at TPC Louisiana

  • 2023: Riley/Hardy (-30)
  • 2022: Cantlay/Schauffele (-29)
  • 2021: Leishman/Smith (-20)
  • 2019: Palmer/Rahm (-26)
  • 2018: Horschel/Piercy (-22)
  • 2017: Blixt/Smith (-27)

2024 Zurich Classic of New Orleans Picks

Tom Hoge/Maverick McNealy +2500 (DraftKings)

Tom Hoge is coming off of a solid T18 finish at the RBC Heritage and finished T13 at last year’s Zurich Classic alongside Harris English.

This season, Hoge is having one of his best years on Tour in terms of Strokes Gained: Approach. In his last 24 rounds, the only player to top him on the category is Scottie Scheffler. Hoge has been solid on Pete Dye designs, ranking 28th in the field over his past 36 rounds.

McNealy is also having a solid season. He’s finished T6 at the Waste Management Phoenix Open and T9 at the PLAYERS Championship. He recently started working with world renowned swing coach, Butch Harmon, and its seemingly paid dividends in 2024.

Keith Mitchell/Joel Dahmen +4000 (DraftKings)

Keith Mitchell is having a fantastic season, finishing in the top-20 of five of his past seven starts on Tour. Most recently, Mitchell finished T14 at the Valero Texas Open and gained a whopping 6.0 strokes off the tee. He finished 6th at last year’s Zurich Classic.

Joel Dahmen is having a resurgent year and has been dialed in with his irons. He also has a T11 finish at the PLAYERS Championship at TPC Sawgrass which is another Pete Dye track. With Mitchell’s length and Dahmen’s ability to put it close with his short irons, the Mitchell/Dahmen combination will be dangerous this week.

Taylor Moore/Matt NeSmith +6500 (DraftKings)

Taylor Moore has quickly developed into one of the more consistent players on Tour. He’s finished in the top-20 in three of his past four starts, including a very impressive showing at The Masters, finishing T20. He’s also finished T4 at this event in consecutive seasons alongside Matt NeSmith.

NeSmith isn’t having a great 2024, but has seemed to elevate his game in this format. He finished T26 at Pete Dye’s TPC Sawgrass, which gives the 30-year-old something to build off of. NeSmith is also a great putter on Bermudagrass, which could help elevate Moore’s ball striking prowess.

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19th Hole

Vincenzi’s 2024 LIV Adelaide betting preview: Cam Smith ready for big week down under

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After having four of the top twelve players on the leaderboard at The Masters, LIV Golf is set for their fifth event of the season: LIV Adelaide. 

For both LIV fans and golf fans in Australia, LIV Adelaide is one of the most anticipated events of the year. With 35,000 people expected to attend each day of the tournament, the Grange Golf Club will be crawling with fans who are passionate about the sport of golf. The 12th hole, better known as “the watering hole”, is sure to have the rowdiest of the fans cheering after a long day of drinking some Leishman Lager.  

The Grange Golf Club is a par-72 that measures 6,946 yards. The course features minimal resistance, as golfers went extremely low last season. In 2023, Talor Gooch shot consecutive rounds of 62 on Thursday and Friday, giving himself a gigantic cushion heading into championship Sunday. Things got tight for a while, but in the end, the Oklahoma State product was able to hold off The Crushers’ Anirban Lahiri for a three-shot victory. 

The Four Aces won the team competition with the Range Goats finishing second. 

*All Images Courtesy of LIV Golf*

Past Winners at LIV Adelaide

  • 2023: Talor Gooch (-19)

Stat Leaders Through LIV Miami

Green in Regulation

  1. Richard Bland
  2. Jon Rahm
  3. Paul Casey

Fairways Hit

  1. Abraham Ancer
  2. Graeme McDowell
  3. Henrik Stenson

Driving Distance

  1. Bryson DeChambeau
  2. Joaquin Niemann
  3. Dean Burmester

Putting

  1. Cameron Smith
  2. Louis Oosthuizen
  3. Matt Jones

2024 LIV Adelaide Picks

Cameron Smith +1400 (DraftKings)

When I pulled up the odds for LIV Adelaide, I was more than a little surprised to see multiple golfers listed ahead of Cameron Smith on the betting board. A few starts ago, Cam finished runner-up at LIV Hong Kong, which is a golf course that absolutely suits his eye. Augusta National in another course that Smith could roll out of bed and finish in the top-ten at, and he did so two weeks ago at The Masters, finishing T6.

At Augusta, he gained strokes on the field on approach, off the tee (slightly), and of course, around the green and putting. Smith able to get in the mix at a major championship despite coming into the week feeling under the weather tells me that his game is once again rounding into form.

The Grange Golf Club is another course that undoubtedly suits the Australian. Smith is obviously incredibly comfortable playing in front of the Aussie faithful and has won three Australian PGA Championship’s. The course is very short and will allow Smith to play conservative off the tee, mitigating his most glaring weakness. With birdies available all over the golf course, there’s a chance the event turns into a putting contest, and there’s no one on the planet I’d rather have in one of those than Cam Smith.

Louis Oosthuizen +2200 (DraftKings)

Louis Oosthuizen has simply been one of the best players on LIV in the 2024 seas0n. The South African has finished in the top-10 on the LIV leaderboard in three of his five starts, with his best coming in Jeddah, where he finished T2. Perhaps more impressively, Oosthuizen finished T7 at LIV Miami, which took place at Doral’s “Blue Monster”, an absolutely massive golf course. Given that Louis is on the shorter side in terms of distance off the tee, his ability to play well in Miami shows how dialed he is with the irons this season.

In addition to the LIV finishes, Oosthuizen won back-to-back starts on the DP World Tour in December at the Alfred Dunhill Championship and the Mauritus Open. He also finished runner-up at the end of February in the International Series Oman. The 41-year-old has been one of the most consistent performers of 2024, regardless of tour.

For the season, Louis ranks 4th on LIV in birdies made, T9 in fairways hit and first in putting. He ranks 32nd in driving distance, but that won’t be an issue at this short course. Last season, he finished T11 at the event, but was in decent position going into the final round but fell back after shooting 70 while the rest of the field went low. This season, Oosthuizen comes into the event in peak form, and the course should be a perfect fit for his smooth swing and hot putter this week.

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Opinion & Analysis

The Wedge Guy: What really makes a wedge work? Part 1

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Of all the clubs in our bags, wedges are almost always the simplest in construction and, therefore, the easiest to analyze what might make one work differently from another if you know what to look for.

Wedges are a lot less mysterious than drivers, of course, as the major brands are working with a lot of “pixie dust” inside these modern marvels. That’s carrying over more to irons now, with so many new models featuring internal multi-material technologies, and almost all of them having a “badge” or insert in the back to allow more complex graphics while hiding the actual distribution of mass.

But when it comes to wedges, most on the market today are still single pieces of molded steel, either cast or forged into that shape. So, if you look closely at where the mass is distributed, it’s pretty clear how that wedge is going to perform.

To start, because of their wider soles, the majority of the mass of almost any wedge is along the bottom third of the clubhead. So, the best wedge shots are always those hit between the 2nd and 5th grooves so that more mass is directly behind that impact. Elite tour professionals practice incessantly to learn to do that consistently, wearing out a spot about the size of a penny right there. If impact moves higher than that, the face is dramatically thinner, so smash factor is compromised significantly, which reduces the overall distance the ball will fly.

Every one of us, tour players included, knows that maddening shot that we feel a bit high on the face and it doesn’t go anywhere, it’s not your fault.

If your wedges show a wear pattern the size of a silver dollar, and centered above the 3rd or 4th groove, you are not getting anywhere near the same performance from shot to shot. Robot testing proves impact even two to three grooves higher in the face can cause distance loss of up to 35 to 55 feet with modern ‘tour design’ wedges.

In addition, as impact moves above the center of mass, the golf club principle of gear effect causes the ball to fly higher with less spin. Think of modern drivers for a minute. The “holy grail” of driving is high launch and low spin, and the driver engineers are pulling out all stops to get the mass as low in the clubhead as possible to optimize this combination.

Where is all the mass in your wedges? Low. So, disregarding the higher lofts, wedges “want” to launch the ball high with low spin – exactly the opposite of what good wedge play requires penetrating ball flight with high spin.

While almost all major brand wedges have begun putting a tiny bit more thickness in the top portion of the clubhead, conventional and modern ‘tour design’ wedges perform pretty much like they always have. Elite players learn to hit those crisp, spinny penetrating wedge shots by spending lots of practice time learning to consistently make contact low in the face.

So, what about grooves and face texture?

Grooves on any club can only do so much, and no one has any material advantage here. The USGA tightly defines what we manufacturers can do with grooves and face texture, and modern manufacturing techniques allow all of us to push those limits ever closer. And we all do. End of story.

Then there’s the topic of bounce and grinds, the most complex and confusing part of the wedge formula. Many top brands offer a complex array of sole configurations, all of them admittedly specialized to a particular kind of lie or turf conditions, and/or a particular divot pattern.

But if you don’t play the same turf all the time, and make the same size divot on every swing, how would you ever figure this out?

The only way is to take any wedge you are considering and play it a few rounds, hitting all the shots you face and observing the results. There’s simply no other way.

So, hopefully this will inspire a lively conversation in our comments section, and I’ll chime in to answer any questions you might have.

And next week, I’ll dive into the rest of the wedge formula. Yes, shafts, grips and specifications are essential, too.

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