KPS Capital Partners LP is buying Carlsbad’s TaylorMade Golf Co. from Adidas AG for $425 million.

Adidas, which had been public about wanting to sell its golf business, announced on May 10 that it had entered its definitive agreement to sell the unit.

Adidas will be selling the TaylorMade, Adams Golf and Ashworth brands. Employees of Adidas Golf will stay with Adidas and be integrated into the parent company’s Heartbeat Sports business unit.

New York-based KPS plans to pay around half of the $425 million in cash; the rest will be a combination of secured note and contingent considerations. The deal is expected to close later this year and will be subject to customary closing conditions.

KPS says its goal is to acquire and improve manufacturing businesses. It operates in such vertical markets as basic materials, branded consumer products, health care, luxury products, auto parts, capital equipment and general manufacturing. Its current portfolio includes A&E, a maker of thread and textiles for several vertical markets; as well as furniture maker Heritage Home Group, whose brands include Thomasville, Broyhill, Drexel Heritage and Hickory Chair. Companies in the KPS portfolio operate 103 manufacturing facilities in 24 countries.

Adidas bought TaylorMade in 1998. The company bought Ashworth in 2008 and Adams Golf in 2012.

As a result of the sale, Adidas said it will record a nonoperational negative profit-and-loss impact in the high-double-digit to low-triple-digit million euro range.

Guggenheim Securities LLC acted as exclusive financial advisor to Adidas AG and Sheppard, Mullin, Richter & Hampton LLP served as legal counsel.

The TaylorMade sale comes at a point when its Carlsbad rival, Callaway Golf Co., is integrating its newly acquired Ogio golf bag company in an attempt to expand its business beyond golf. Callaway (NYSE: ELY) bought Ogio in January for $75.5 million.

In other TaylorMade news, the company announced on May 9 that it signed Rory McIlroy as a touring professional.