Dow Jones Today: Stock Futures Slip After Major Indexes Slide

Topgolf Callaway Brands to Sell Majority 60% Stake in Topgolf Unit

27 minutes ago

Topgolf Callaway Brands (MODG) said before the bell that it was selling a 60% stake in its Topgolf and Toptracer business to to private equity funds managed by Leonard Green & Partners, confirming a recent report.

Last Friday, Topgolf Callaway shares jumped after The Wall Street Journal reported that the company was in talks with Los Angeles-based Leonard Green to sell Topgolf in a deal that would value its high-tech driving ranges unit at about $1 billion. In a press release Tuesday, Topgolf Callaway said the deal—which is expected to close in the first quarter of 2026—values Topgolf at approximately $1.1 billion, and that it expects to receive approximately $770 million in net proceeds.

Just over a year ago, Topgolf Callaway—which has a market cap of roughly $2 billion—said it intended to split back into two companies, with Callaway focused on making golf clubs.

“As we considered various alternatives to separate Topgolf, including a potential spin-off transaction, we received interest from a number of parties,” Topgolf Callaway Brands CEO Chip Brewer said. “After a robust process and a thorough evaluation of a range of alternatives, we believe this sale is the best outcome for our shareholders, as well as our employees and other stakeholders. This transaction is highly attractive in that it provides the Company with both significant proceeds and substantial upside in the continued growth of Topgolf.”

Upon closing, Topgolf Callaway plans to change its name to “Callaway Golf Company” and change its ticker symbol to “CALY.” Shares would continue to trade on the New York Stock Exchange.

Shares slipped 1% before the bell but entered the session up 38% this year. Still, they are down about 60% since the company formed in March 2021.

Stock Futures Slip After Major Indexes Slide

1 hr 7 min ago

Futures contracts tied to the Dow Jones Industrial Average fell 0.5%.

S&P 500 futures were down 0.4%.

Nasdaq 100 futures declined 0.4%.