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Mini-Golf Upstart Puttshack Gets Big Investment From BlackRock

Mini-Golf Upstart Puttshack Gets Big Investment From BlackRock

Puttshack has big plans to double its US presence in the coming weeks, and thanks to a new injection of $150 million in cash from its latest funding round, the company has the fuel it needs to drive even greater growth in 2023.

Topgolf founders Steve and Dave Jolliffe’s mini golf idea has completed a capital growth funding round, led by BlackRock (BLK) and British private equity firm Promethean Investments.

Puttshack’s website says the company’s Boston location was supposed to open over the summer. Although it missed that deadline, just a day after the funding was announced, the company announced that the Boston location would open this fall.

The company did not respond to a request for comment on whether it needed the new money to open the Boston location, but it acknowledged in its press release where the money will go.

“This new capital from BlackRock will allow us to further expand and bring our unique concept to more cities across the country,” said Logan Powell, Bochack’s chief financial officer.

Botschak describes himself as the world’s first and only tech-infused miniature golf experience.

There are currently only two locations in the US (Atlanta and Oak Brook, outside of Chicago) and four in the UK but now the company plans to open a Boston location as well as a location in Miami before the end of the year.

Potchak locations are expected to open in Dallas, Denver, Houston, Nashville, Philly, Pittsburgh and Scottsdale in 2023. The company also plans to open a second location in Atlanta.

โ€œBochak is entering new markets with its innovative approach to the beloved game of golf, making it a leader in the social entertainment industry,โ€ said William M, Director of the Global Credit Opportunities Team at BlackRock.

golf back

Puttshack is building the popularity of Topgolf, which has experienced exponential growth in recent years.

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Topgolf opened 74 facilities, including 67 in the United States, at the beginning of 2022.

The past two years have been a rocket ride for the company after Callaway Golf reached an agreement to buy out the rest of the company (it previously held a 14% stake).

The natural association benefits both companies, with many acknowledging Topgolf as interest in golf has returned.

“Our research tells us that Topgolf’s accessible and non-intimidating environments, and similar venues, help develop an interest in the traditional game,” said NGF President and CEO Joseph Beditz, according to NBCSports.

The National Golf Foundation reported in May 2021 that golf participation rose 8% in 2020 to 36.9 million when combining players playing on and off the course (at places like Topgolf).

There were only 12.1 million golfers off the course, compared to 12.6 million for on-court only golfers. Other golfers played the game both on and off the field.

“Demand in this area is compelling, and we are excited to support Bocach in its rapid expansion. There is a positive outlook on the horizon with significant growth for the company,” Im said.

Bocach pushes expansion

Puttshack opened its first London location in 2018. By the time Promethean Investments led a $60 million funding round in 2021, the company had opened three locations in its hometown.

โ€œThe investment round has been oversubscribed, demonstrating the scale of the strength of the concept and the team. The demand for social entertainment, particularly as we emerge from the global pandemic, is very high, and Potchak is set to grow at a rapid pace,โ€ said Michael Burt, Managing Partner of Promethean , at that time.

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Between 40% and 50% of Puttshack’s revenue comes from mini golf, a higher percentage than others in the “food” industry, according to a 2020 filing in Restaurant Business, with CEO Joe Franken noting that margins are higher. On the side of the game.

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