Topgolf Callaway Brands Corp. (NYSE: MODG) is conducting a strategic review of its Topgolf driving-range chain, including a potential spinoff, as it struggles to attract enough golfers to its venues.
“We have been disappointed in our stock performance for some time, as well as the more recent same venue sales performance,” CEO Chip Brewer said in a statement. “As a result, we are in the process of conducting a full strategic review of Topgolf.”
Brewer said he has brought on external advisers and will assess strategies to revive Topgolf organically, while considering options to split the business from Callaway, which makes golf clubs and other equipment. Callaway acquired Topgolf in 2020 in a deal that valued the business at about $2 billion.