Adams Golf (NasdaqCM:ADGF) has taken a big step into the putter market with the acquisition of Yes! Golf and its related assets at a bankruptcy auction in Denver. Adams Golf submitted the winning bid of $1.5 million and a total purchase cost of $1.65 million (inclusive of administration costs) for the putter company best known for its C-Groove technology.
The purchase includes acquisition of all of Yes! Golf’s patented putter technology designs, the company’s registered trademarks and all existing inventory and capital equipment. Yes! Golf will be integrated into the Adams Golf operations in Plano, Texas, although there is no word yet on whether or not the company will stay with the Yes! Golf putter names such as “Valerie’’ and “Donna’’ or create new putters under a new umbrella.
The purchase is subject to funding that is expected to occur by week’s end.
Historical financials prepared by Yes! Golf show its revenues were approximately $10.2 million in 2007 and approximately $2.4 million in 2010.
“We have been looking for an attractive avenue into the putter market for some time and believe the Yes! Golf brand and technology platform provides us just such an opportunity,” said Chip Brewer, President and CEO of Adams Golf. “Yes! Golf provides Adams Golf compelling putter technology and a positive brand image, including ongoing tour usage based on the performance of the product alone. The Yes! Golf brand will likely benefit from the inclusion into our operational infrastructure and we intend for it to serve as a source of future growth for our company.”