6 May 2022

Oakley Capital Investments Limited

Oakley Capital Investments Limited¹ ("OCI") is pleased to announce that Oakley Capital Origin Fund² ("Origin Fund") is investing in Vice Sporting Goods GmbH ("Vice Golf"), the leading digitally native golf brand.

OCI's indirect contribution via the Origin Fund will be c.£11 million.

Note that the above figure only relates to OCI's share of Oakley's overall investment in Vice Golf.

OCI's liquid resources available for future deployment (including this transaction) are estimated to be c.£139 million.        

Further details on the transaction can be found in the below announcement from Oakley Capital^3.

Oakley partners with the founders of digitally native golf brand Vice Golf

·      Premium golf balls sold direct-to-consumer offers competitive pricing advantage

·      Innovative design and focus on social media provide marketing edge

·      Large, stable golf market benefitting from a shift to healthy living and flexible working

Oakley Capital, the pan-European private equity investor, is pleased to announce that Oakley Capital Origin Fund is investing in Vice Sporting Goods GmbH ("Vice Golf"), the leading digitally native golf brand.

Golf is a centuries-old sport that has proven its enduring appeal and stability through economic cycles and is today played by c.70 million across the globe. It has seen a significant boost during the COVID pandemic with the number of golf rounds played in the US increasing 20% between 2019 and 2021, driven by existing players playing more rounds and new players embracing the sport, as well as a shift to healthy living and flexible working.

Founded in 2012 in Munich by entrepreneurs Ingo Düllmann and Rainer Stöckl, Vice Golf has a strong track record of profitable growth with >40% top-line CAGR between FY18 and FY21 at ~20% EBITDA margin. The Company has successfully disrupted the golf ball market by offering premium golf balls at significantly lower price points than comparable products through its direct-to-consumer (DTC) business model and social media marketing.

Vice Golf has developed an enthusiastic following and established itself as the largest digital-first player in the global golf ball market thanks to its product proposition and novel designs. The Company principally sells golf balls as well as accessories such as caps and gloves to golfers of all ages and skill levels across the US and Europe. Following customer demand Vice Golf recently entered the apparel segment via highly successfully collaborations with top brands such as Adidas and Beastin.

Oakley's partnership with Vice Golf builds on the firm's deep expertise supporting DTC businesses such as Gymondo (part of 7NXT), Germany's leading online fitness and nutrition platform, and Wishcard, one of Europe's leading digital gift card companies. The investment in Vice Golf is another example of Oakley's ability to leverage its wider network and reputation to form long-lasting partnerships with successful entrepreneurs. Oakley's investment will help the business to accelerate its growth, product diversification strategy and internationalisation.

Oakley Capital Founder and Managing Partner, Peter Dubens, commented: 

"Vice Golf has seen impressive growth thanks to its innovative approach of offering passionate golfers leading product quality at a highly competitive price. We look forward to working with Ingo and Rainer and help the Vice Golf team to build a globally leading multi-product brand in the golf world."

 Vice Co-Founders, Ingo Düllmann and Rainer Stöckl, commented:

"We were attracted to Oakley's successful record of partnering with disruptive brands and founders. And as business founders, Oakley's entrepreneurial heritage particularly appealed to us. With their support, we are confident that we can further accelerate our ambitious growth strategy for Vice Golf."

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For further information please contact:

Oakley Capital Limited

+44 20 7766 6900

Steven Tredget

Greenbrook Communications Limited

+44 20 7952 2000

Alex Jones / Michael Russell

Liberum Capital Limited (Financial Adviser & Broker)

+44 20 3100 2000

Chris Clarke / Darren Vickers / Owen Matthews

Notes:

LEI Number: 213800KW6MZUK12CQ815

¹ About Oakley Capital Investments Limited ("OCI")

OCI is a Specialist Fund Segment ("SFS") traded investment vehicle that aims to provide shareholders with consistent long-term capital growth in excess of the FTSE All-Share Index by providing liquid access to private equity returns through investment in the Oakley Funds.

A video introduction to OCI is available at https://oakleycapitalinvestments.com/videos/

The contents of the OCI website are not incorporated into, and do not form part of, this announcement.

² The Oakley Funds

Oakley Capital Private Equity L.P. and its successor funds, Oakley Capital Private Equity II, Oakley Capital Private Equity III, Oakley Capital IV, Oakley Capital V and Oakley Capital Origin Fund are unlisted lower-mid to mid-market private equity funds that aim to provide investors with significant long-term capital appreciation. The investment strategy of the Funds is to focus on buy-out opportunities in industries with the potential for growth, consolidation and performance improvement.

³ Oakley Capital, the Investment Adviser

Founded in 2002, Oakley Capital Limited has demonstrated the repeated ability to source attractive growth assets at attractive prices. To do this it relies on its sector and regional expertise, its ability to tackle transaction complexity and its deal generating entrepreneur network.

Important information

Specialist Fund Segment securities are not admitted to the Official List of the Financial Conduct Authority. Therefore, the Company has not been required to satisfy the eligibility criteria for admission to listing on the Official List and is not required to comply with the Financial Conduct Authority's Listing Rules.

The Specialist Fund Segment is intended for institutional, professional, professionally advised and knowledgeable investors who understand, or who have been advised of, the potential risk from investing in companies admitted to the Specialist Fund Segment.

This announcement may include "forward-looking statements". These forward-looking statements are statements regarding the Company's objectives, intentions, beliefs or current expectations with respect to, amongst other things, the Company's financial position, business strategy, results of operations, liquidity, prospects and growth. Forward-looking statements are subject to risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future.  Accordingly the Company's actual future financial results, operational performance and achievements may differ materially from those expressed in, or implied by, the statements. Given these uncertainties, prospective investors are cautioned not to place any undue reliance on such forward-looking statements, which speak only as at the date of this announcement. The Company expressly disclaims any obligation or undertaking to update or revise any forward-looking statements contained herein to reflect actual results or any change in the Company's expectations with regard to them or any change in events, conditions or circumstances on which any such statements are based unless required to do so by the Financial Services and Markets Act 2000, the Listing Rules or Prospectus Regulation Rules of the Financial Conduct Authority or other applicable laws, regulations or rules.