이 기사는 2021년 06월 22일 08:15 thebell 에 표출된 기사입니다.

KMH Group and Smart Score will compete for golf equipment company Majesty Golf. The two companies have formed a consortium with financial investors for the final round of bidding.

Orchestra Advisors Korea and Goldman Sachs, which manages the sale process, have received final offers for Majesty Golf on Thursday, industry sources said. A consortium of KMH and Keystone Private Equity and a consortium of Smart Score, Striker Capital Management and SG Private Equity submitted their bids. The preferred bidder is expected to be announced as early as June 21.

The seller is reportedly putting weight on non-price factors beyond the offered price to make sure the deal is sealed within a set timeframe.

Last month, KMH signed a deal to sell its 36-hole public golf course TGV Country Club (CC) for 220 billion won ($193 million) to eBest Securities. It had cash and cash equivalents of 68.1 billion won as of the end of March. The company has sufficient money to finance the Majesty deal worth around 300 billion won. Keystone PE also has a 100 billion won blind-pool fund.

The consortium led by Smart Score is keen to acquire the golf equipment company. It could submit an offer higher than the KMH consortium's. Smart Score raised 50 billion won in April in a deal which valued the company at 250 billion won.

Smart Score and Striker Capital Management acquired Hildesheim CC, a 27-hole golf course in Choongcheong Province, earlier this year. The company plans to beef up its golf business through this acquisition.

The sale of Majesty Golf will mark Orchestra Advisors Korea’s first exit, which is estimated to generate 2.5~3 times invested capital (about 116 billion won) in three and a half years. (Reporting by Se-hun Jo)