The need for better products led the four friends from Skellefteå to start their own manufacturing, and it opened unexpected doors. Passion and a focus on quality proved to be a winning concept, and success followed. The achievements prompted Mountain Village to seek a professional partner to become an industry leader and facilitate continued growth. Clearwater connected two buyers who turned out to be the right path forward for the disc manufacturer.
Disc golf is a sport with a low barrier for beginners. All you need is a few discs, and you are ready to start throwing. Most courses are free to play, and discs cost around £20.
But there was a problem – the Skellefteå friends played disc golf at a high level, and the quality of the suppliers did not meet their standards. In 2005, Mountain Village was founded to produce discs for themselves – with consistent and high quality. Initially, as a product development company with manufacturing done by subcontractors, but in 2010, when Mountain Village invested in its own production equipment, it became serious.
"Thanks to Clearwater the future looks brighter than ever before."
The future of the discs
Since the sale to Equip Capital and Vendis Capital, the acquisitions have continued, most recently with the acquisitions of the brands Dynamic Discs and Discmania. Mountain Village has gone from being a fragmented business to owning and producing for five different brands. At the time of the sale, the company had a turnover of £35 million; today, turnover is £50 million. The founders chose to reinvest in the partnership and retain their operational roles.
"Thanks to the Clearwater team with their high work ethic and humility, we are now incredibly happy to continue our journey with Equip and Vendis to take disc golf to the next level. The future looks brighter than ever before", says David Berglund, CEO and co-founder of Mountain Village.
With the sale, Mountain Village has gained two competent investors experienced in building consumer companies, with the vision to become an international leader in disc golf manufacturing. The process was intensive but resulted in strong interest from several buyers.
"It has been a pure pleasure to work together with the founders of Mountain Village and support them during the process. We are very impressed by the unique and globally leading business they have passionately built over the years. We are confident that they have found perfect partners in Equip and Vendis, whose combined expertise and experience in the consumer sector and brand-building will be highly value-adding for the group in the future. We look forward to closely following Mountain Village as it establishes itself as the ultimate disc golf company over the coming years", says Andreas Klavebäck, Associate Director, Clearwater.
In both Sweden and Finland, the popularity of disc golf has increased, and the pandemic further fueled interest. Today, there are over 100,000 members in the international disc golf organisation and over 14,000 courses worldwide. The sport still consists largely of passionate enthusiasts, but the journey from a niche underground to an established sport continues.
"Most people do not know that there are many disc collectors. The second-hand market where people buy and trade used discs is huge", says David Berglund, CEO and co-founder of Mountain Village.
The underground sport evolves, so does the vision
In the following years, Mountain Village grew to become the world's second-largest disc producer. The company manufactured discs for its own brand, Latitude 64°, and took on the production for major brands like Dynamic Discs, Westside Discs, and Discmania.
"A fun detail is that all collaborations are done with a handshake, without written agreements. We have operated the business on trust, and it has proven to work well", says David Berglund, CEO and co-founder of Mountain Village.
The disc golf industry has long been comprised of entrepreneurs and enthusiasts who know each other. The company was courted by several investors with buying interest. The founders began to feel that it was time to bring in some fresh thinking and professionalise the business; they had taken the company as far as they could on their own. And due to all the collaborations, a holistic approach was needed.
Two buyers come together
Disc golf is still a relatively small sport, and as a leading player, there is an opportunity to truly impact the sport's future. To harness the potential of the business, a collaboration with Clearwater was initiated as advisors to find the perfect partner.
"The ambition, drive, accessibility, and passionate staff at Clearwater suited us. The sensitivity in navigating internally and the great respect for our situation were key. We could never have done it on our own; they went way and beyond to close the deal", says David Berglund, CEO and co-founder of Mountain Village.
The result was a combination of Equip Capital and Vendis Capital coming together and taking a joint majority stake in Mountain Village. Clearwater helped Mountain Village present the case of bringing all disc brands under one roof, including the acquisition of the Swedish brand Kastaplast just before the sale.
"The vision of bringing all brands under the same roof was a significant driving force for the investors. Additionally, the opportunity to drive the sport and the company forward simultaneously was appealing. The company wanted to find a buyer with experience in building consumer brands and the capital to bring all brands together", explains Martin Agerup, Clearwater.
