When it rains, it really pours on the golf equipment industry. One day after Nike Golf announced it’s getting out of the equipment side of the nosiness, there is a Bloomberg report that retailer Golfsmith International is considering filing for bankruptcy as it looks for a new owner.
According to Bloomberg, Golfsmith, based in Austin, Texas, has hired the investment bank Jefferies LLC to solicit buyers for the approximately 150-store chain, without success. The company also hired Alvarez & Marsal to help it restructure as part of a Chapter 11 filing.
If Golfsmith goes into Chapter 11, or even closes completely, it would be another blow to the golf equipment retail pipeline. The Sports Authority closed its stores earlier this summer and Dick’s Sporting Goods has been reducing the golf footprint in its stores the past year.