The Korea Herald, South Korea’s largest English-speaking newspaper, reports the country’s state pension fund will to inject at least 250 billion won ($234.3 million) into a Korean-led consortium for its project to buy the Acushnet Company (Titleist, FootJoy).
The group led by Fila Korea Ltd., signed a deal with Acushnet parent Fortune Brands this past May to buy its golf equipment unit for $1.23 billion. Other partners include Mirae Asset Private Equity, the Government Employees Pension Service and Korea Development Bank.
The Korean investors haven’t revealed the complete list of financiers and their investment value. But officials and reports expect Fila Korea to bring in about $100 million and the GEPS nearly $19 million on top of the funding from the National Pension Service.
In addition, private equity firm Blackstone Group LP, another bidder for the deal, is said to have agreed to provide $100 million. Mirae Asset has reportedly entered negotiations with China Investment Corp., a Chinese sovereign-wealth fund, over the amount of investment.
“(The investor consortium) is being formed smoothly,” a senior official at Fila was quoted in the Herald. “It will be finalized in mid-July at a funding committee meeting.”