Retailer Big 5 Sporting Goods Corporation has signed an agreement to be acquired by a partnership comprised of Worldwide Golf and Capitol Hill Group in an all-cash transaction valued at approximately $112.7 million.
The deal includes the assumption of approximately $71.4 million on a line of credit as of June 29, according to a news release.
Big 5 shareholders will receive $1.45 per share in cash, representing a premium of 36% to the company’s 60-day volume weighted average price.
“This transaction marks an exciting new chapter for Big 5 that allows the company to carry on its legacy of serving customers with quality sporting goods at an exceptional value while maximizing value for our stockholders,” said Steven G. Miller, Big 5 chairman, president, and CEO, in a statement. “I want to thank our dedicated employees, loyal customers and valued vendors who continue to support Big 5 in each of the communities we serve.”
Big 5 is a leading sporting goods retailer in the western United States, operating 414 stores. Worldwide Golf is a nationwide retailer of golf equipment, apparel, shoes and accessories, with more than 95 stores across 25 states. It operates under multiple regional sub-brands, including Roger Dunn Golf Shops, Edmin Watts Golf Shops, Golfers’ Warehouse, and more. Capitol Hill Group is a Bethesda, Maryland-based private investment firm with diverse holdings, including retail.
The partnership combines Capitol Hill’s financial resources and Worldwide Golf’s retail expertise to provide Big 5 with capital and strategic support to re-energize its growth.
“We are thrilled to support the next stage of the company’s evolution,” said Theodore Shin, Capitol Hill CEO. “Big 5 has built an impressive foundation as a leading bricks-and-mortar sporting goods retailer. We also admire the deep history and culture of the company, and look forward to carrying that forward into the future.”
The transaction has been approved by Big 5’s board of directors and is subject to closing conditions, including shareholder approval. It’s expected to close in the second half of 2025.
