You might say this company knows to stay out of the rough. American Golf Corporation (AGC) is one of the largest golf course management firms in the world with more than 110 public, private, and resort properties in more than 25 states. Its portfolio of courses includes such country clubs as The Golf Club at Mansion Ridge (Monroe, New York), Oakhurst Country Club (Clayton, California), and Palm Valley Country Club (Palm Desert, California). The company also runs the American Golf Foundation, which helps promote the game through charity and education. AGC is owned by investment firms Goldman Sachs and Starwood Capital.
The company generates revenue primarily through management contracts entered into with golf property owners. Under some of those agreements, AGC is required to help fund improvements in the golf facilities it manages. The company unveiled an $11 million upgrade at New York City's Pelham Bay & Split Rock courses in 2009. ClubCorp and Troon Golf are two other large golf management businesses.
Goldman Sachs and Starwood joined together to acquire AGC along with National Golf Properties, an affiliated publicly traded REIT, for about $1.1 billion in 2003. The deal came after a failed merger between the companies, both of which were burdened with debt. David Price had started both businesses in the early 1970s. – less