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Adams Golf’s Brewer Says Sale, Dividend Among Strategic Options

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Bloomberg Buisness Report today By: Matt Townsend.

Adams Golf Inc., the golf club seller that today said it hired Morgan Stanley to review strategic alternatives, may consider among its options a sale or starting a dividend, Chief Executive Officer Chip Brewer said.

Potential suitors for Plano, Texas-based Adams include Callaway Golf Co., Nike Inc. and Adidas AG, said a person familiar with the matter, who declined to be identified because the discussions are private.

Adams Golf, founded by Chairman Barney H. Adams in 1987, boosted sales 14 percent to $97.4 million in the 12 months ended Sept. 30. After posting a net loss of $12.2 million in 2009, the company has made money in six of the past seven quarters. The shares, which gained 37 percent last year, rose 4.3 percent after the close to $6.58 at 6:32 p.m. in New York.

“We are going to go through with a process that best helps shareholder value,”

Brewer said today in a telephone interview.

Morgan Stanley, based in New York, advised Fortune Brands Inc. last year on the sale of its Titleist golf unit to a group led by Fila Korea Ltd. for $1.23 billion in cash.

The review may not result in a transaction, Adams said today in a statement.

Click here to read entire article on bloomberg… http://www.businessweek.com/news/2012-01-05/adams-golf-s-brewer-says-sale-dividend-among-strategic-options.html

According to a thread on GolfWRX one writer says:

Who’s buying Adams? I’m guessing Under Armour. Golfbiz is reporting Adams is for sale. My question is who’s the players? Under Armour was a rumor on Titleist/Acushnet, could they be interested in Adams now, who’s gotta be cheaper that the Titleist acquisition. Ideas?

On GolfWRX reader are all over this. Suitors have been picked. Click here to read discussion in the forums… http://www.golfwrx.com/forums/topic/564999-whos-buying-adams-im-guessing-under-armour/

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GolfWRX is the world's largest and best online golf community. Expert editorial reviews, breaking golf tour and industry news, what to play, how to play and where to play. GolfWRX surrounds consumers throughout the buying, learning and enrichment process from original photographic and video content, to peer to peer advice and camaraderie, to technical how-tos, and more. As the largest online golf community we continue to protect the purity of our members opinions and the platform to voice them. We want to protect the interests of golfers by providing an unbiased platform to feel proud to contribute to for years to come. You can follow GolfWRX on Twitter @GolfWRX and on Facebook.

2 Comments

2 Comments

  1. Adams Golfer

    Jan 6, 2012 at 4:55 pm

    As a shareholder of Adams Golf, I’m excited that Chip has finally looked at this route. There is no reason for this company to be public, and a take private or a sale to a strategic is exactly what is needed to unlock shareholder value. With Callaway trading at 13.8x EV/EBITDA, it looks like Adams should go for a pretty penny.

  2. r8ted wrx

    Jan 6, 2012 at 4:43 pm

    I would like to see Adams succeed but if not then I believe Nike needs to go after them. It would make Nike that much better and able to compete more with Taylormade and Titleist.

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Whats in the Bag

Kris Kim WITB 2024 (May)

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Driver: TaylorMade Qi10 (9 degrees @7)
Shaft: Mitsubishi Tensei 1K White 60 TX

3-wood: TaylorMade Qi10 Tour (15 degrees @13.5)
Shaft: Mitsubishi Diamana WB 73 TX

Irons: TaylorMade P770 (2, 4), TaylorMade P7MB (5-PW)
Shafts: Mitsubishi Tensei 1K White 80 TX (2), Nippon N.S. Pro Modus3 Tour 120 X

Wedges: TaylorMade MG4 (50-09SB, 56-12SB, 60-11TW)
Shafts: Nippon N.S. Pro Modus3 WV 125

Putter: TaylorMade Spider Tour

Grips: Golf Pride Tour Velvet Cord

Check out more in-hand photos of Kris Kim’s equipment here.

 

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Welcome to the family: TaylorMade launches PUDI and PDHY utility irons

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TaylorMade is continuing its UDI/DHY series with the successor to the Stealth UDI and DHY utility irons: PUDI and PDHY (which the company styles as P·UDI and P·DHY). TaylorMade is folding the designs in with its P Series of irons.

TaylorMade outlined the process of developing its new utilities this way. The company started with the data on utility iron usage. Not surprisingly, better players — i.e. those who generate more clubhead speed and strike the ball more precisely — were found to gravitate toward the UDI model. DHY usage, however, covered a wider swath than the company might have expected with six-to-18 handicappers found to be bagging the club.

TaylorMade also found that the majority of golfers playing UDI or DHY utilities were playing P Series irons at the top of their iron configurations.

Can you see where this is going?

Matt Bovee, Director of Product Creation, Iron and Wedge at TaylorMade: “As we look to the future, beyond the tech and the design language, we are excited about repositioning our utility irons into the P·Series family. P·UDI is an easy pair for players that currently play P·Series product and P·DHY is an extremely forgiving option for players of all skill levels. It is a natural fit to give these players the performance in this category that they are looking for.”

 

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TaylorMade PUDI

TaylorMade PUDI technology cutaway (via TaylorMade)

Crafted with tour player input, TaylorMade sought to develop a confidence-inspiring utility iron that blends with the rest of the P Series irons. Also of note: Interestingly, the PUDI has a more compact head than the P790.

In comparison to past UDI products, the PUDI has a more traditional iron shape, slimmer toplines, and less offset with a little of the backbar visible at address.

TaylorMade PDHY

TaylorMade PDHY tech cutaway (via TaylorMade).

Larger in profile than the PUDI, the PDHY seeks to position center of gravity (CG) lower in the club for ease of launch. The toe height is larger and the profile is larger at address — roughly five millimeters longer than PUDI — the sole of the club is wider for improved forgiveness.

Club Junkie’s take

Golfers who feel like they are missing something at the top of the bag could find the PUDI or PDHY a great option. The look of the PUDI should fit the most discerning eye with a more compact look, less offset, and a thinner topline. If you want a little more confidence looking down the P-DHY will be slightly larger while still being a good-looking utility iron.

For being small packages both models pack a pretty good punch with fast ball speeds, even off-center. The feel is soft and you get a solid feel of the ball compressing off the face when you strike it well. Your ears are greeted with a nice heavy thud as the ball and club come together. The PDHY will launch a little higher for players who need it while the PUDI offers a more penetrating ball flight. Both utility irons could be the cure for an open spot in the top end of the bag.

PUDI, PDHY, or Rescue?

TaylorMade offers the following notes to assist golfers in filling out their bags:

  • PUDI has mid-CG right behind the center face to create a more penetrating mid-to-low ball flight
  • PDHY has a lower center of gravity to produce an easier-to-launch mid-to-high ball flight.
  • Both PUDI and PDHY are lower-flying than the company’s hybrid/Rescue clubs.
  • PUDI is more forgiving than P790.
  • PDHY is the most forgiving iron in the entire TaylorMade iron family

Pricing, specs, and availability

Price: $249.99

At retail: Now

Stock shafts: UST Mamiya’s Recoil DART (105 X, 90 S and 75 R – only in PDHY)

Stock grip: Golf Pride’s ZGrip (black/grey)

PUDI lofts: 2-17°, 3-20°, 4-22° in both left and right-handed

PDHY lofts: 2-18°, 3-20° and 4-22° in both left and right-handed

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Equipment

Coolest thing for sale in the GolfWRX Classifieds (5/3/24): Scotty Cameron Champions Choice 2.5+ putter

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At GolfWRX, we are a community of like-minded individuals that all experience and express our enjoyment of the game in many ways.

It’s that sense of community that drives day-to-day interactions in the forums on topics that range from best driver to what marker you use to mark your ball. It even allows us to share another thing we all love – buying and selling equipment.

Currently, in our GolfWRX buy/sell/trade (BST) forum, there is a listing for a Scotty Cameron Champions Choice 2.5+ putter

From the seller: (@wwcl): “Has been gamed as pics show. 33.5 includes original h/c and grip. $575 includes shipping and PP fees.”

To check out the full listing in our BST forum, head through the link: Scotty Cameron Champions Choice 2.5+ putter

This is the most impressive current listing from the GolfWRX BST, and if you are curious about the rules to participate in the BST Forum you can check them out here: GolfWRX BST Rules

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