Newnan-based Sequoia Golf, owner of several Canongate courses in Peachtree City and the Atlanta area, will be sold to Dallas-based ClubCorp for $265 million according to recent announcements from the companies.
The local Sequioa owned courses which will be changing ownership include Flat Creek, Planterra Ridge, and Braelin golf clubs in Peachtree City as well as Canongate 1 and White Oak in Coweta County.
“We selected this shift in ownership because it is going to be best for the immediate and long-term interests of Sequoia and Canongate, leading to greater opportunities for its staff and club members,” said Joe Guerra, Sequoia president and CEO. “In fact, members can expect many new benefits and service improvements in the next several months.”
The announcement from Sequioa said Guerra will serve as a senior advisor to ClubCorp.
“ClubCorp is known for maintaining extremely high standards in club management and investing to improve members’ experience. Specifically, their leadership and club reinventions, compelling product offerings, and growth via acquisitions serve as a strategic fit four our company.”
The national coverage of the sale focused on the larger trends in golf, a sport that has seen declining participation numbers, particularly from casual golfers.
In its article about the sale, the Atlanta Journal-Constitution referenced a Bloomberg report that around 400,000 players left the sport in 2013, according to information from the National Golf Foundation.
In the same story, the AJC reported that Sequoia lost $513,000 in the fiscal year that ended in June and ClubCorp has not been profitable since 2010, having lost $40 million in 2013.
Sequoia Golf currently “owns or operates 50 private clubs, semi-private and resort golf facilities located across the U.S.,” according to the announcement.
ClubCorp Holdings, Inc. “is a publicly traded company on the New York Stock Exchange with a market cap of over $1 billion and 150 assets worldwide,” according to the announcement. “ClubCorp owns and operates a portfoilio of approximately 160 golf and country clubs, business clubs, sports clubs, and alumni clubs in 25 states, the District of Columbia and two foreign countries that serve over 370,000 members, with approximately 15,000 peak-season employees. ClubCorp properties include Firestone Country Club (Akron, Ohio); Mission Hills County Club (Rancho Mirage, California); Capital Club (Beijing); and Metropolitan Club (Chicago, Illinois).”