Callaway Golf is investing in indoor golf.
The company has announced the recent completion of a $30 million minority investment in Five Iron Golf, a privately owned indoor golf and entertainment company. The percentage size of Callaway's stake was not disclosed.
Five Iron Golf boasts locations in a variety of urban markets, offering simulator rentals and a full suite of golf services, including lessons and custom club fittings, all in a social setting.
"We are pleased to announce our partnership with Five Iron Golf and are excited to support the continued growth of off-course golf and entertainment," commented Chip Brewer, President and Chief Executive Officer of Callaway.
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"Five Iron Golf has built a strong brand and leadership position in the evolving indoor golf market by creating technology-driven, eye-catching venues appealing to avid golfers, pure entertainment seekers, and everyone in between. This innovative business aligns with Callaway's belief that the future of golf will be more accessible and inclusive."
The investment includes a non-exclusive marketing agreement that gives provides Callaway further opportunity to connect with golfers where they are, building on their acquisition of Topgolf.
"In building our brand, we have always emphasized working with partners who identify with our mission of spreading love of golf through meaningful, customizable experiences," said Jared Solomon, Chief Executive Officer of Five Iron Golf. "We are energized by Callaway's approach to golf and entertainment and are excited for the many opportunities to come."
Five Iron Golf was co-founded in 2017 in New York City and has expanded to nine US locations operating in seven cities and an international franchise venue location in Singapore. Seven additional venue locations are currently under development.
The indoor golf market is burgeoning, with a variety of players in the space, all jockeying for market share with different geographic focus. With their investment, Callaway continues to seek out new opportunities to find golfers -- or close-enough golfers -- that don't neatly fit into the traditional models for the game.