Platinum Equity has entered into a definitive agreement to acquire Club Car, a global manufacturer of golf cars, utility, personal transportation and other low-speed vehicles, including all-electric models, and related aftermarket parts and services, from Ingersoll Rand in a transaction valued at approximately $1.7 billion.
“Club Car is an iconic golf brand that for more than 60 years has set the industry standard for quality and innovation,” said Platinum Equity chairman and CEO Tom Gores. “We appreciate Ingersoll Rand’s confidence in our ability to build on that legacy and support Club Car’s continued growth and expansion as a standalone company.”
“We are grateful for the dedication and commitment Club Car employees have had over the years to make their business a success,” said Ingersoll Rand CEO Vicente Reynal. “We believe Platinum is well equipped to ensure a seamless transition and is the right partner to help Club Car achieve its next phase of growth and evolution.”
“Demand for electric vehicles across many product platforms and geographies is at an all-time high,” said Club Car president Mark Wagner, who will continue to lead the company under Platinum Equity’s ownership. “Golf remains a very stable, healthy business while our consumer and commercial markets are rapidly growing around the world. As our product line and geographic reach have expanded, so has the complexity of our business. Platinum’s experience and global resources will be vital to helping us continue that growth and to achieving our long-term ambitions.”
Credit Suisse and J.P. Morgan Securities LLC are serving as financial advisors to Platinum Equity on the acquisition of Club Car and Morgan Lewis is serving as Platinum Equity’s legal counsel. BofA Securities will lead the debt financing for Platinum Equity and Club Car. Willkie Farr is providing financing counsel to Platinum Equity on the transaction. Goldman Sachs is serving as exclusive financial advisor to Ingersoll Rand and Simpson, Thacher & Bartlett LLP is serving as its legal counsel.