Golf Town, the largest golf retail chain in Canada, has struck an agreement to acquire Golfsmith, the largest golf retailer in the U.S., in a merger deal that would create the world's largest specialty golf retailer, with about 150 stores in North America and annual sales approaching $800 million. Golfsmith already has a European wholesale and online retail business, based in the U.K. The future combined group may enter the U.K. and China with physical golf stores, under a plan that has been discussed within Golf Town's management. The takeover deal, which must still be approved by the shareholders of both companies, would also open up more distribution and licensing deals like those that Golfsmith already has for several brands in Europe and South Africa. It already has the European rights for the Greg Norman collection of golf clothing. One of its most recent European distribution deals is with Infiniti Golf. Three years ago, Golfsmith bought the rights to the MacGregor Golf brand for the Americas, Europe and other parts of the world, and it is using it as a private label. More in the American edition of SGI.

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