Old Mutual Private Equity sells sports group MoreCorp to RMB Ventures after decade-long hold

Cover Image by Sutha Naidu

Old Mutual Private Equity has agreed to sell its investment in MoreCorp, the South African sports and leisure group behind The Pro Shop and Cycle Lab, to RMB Ventures, closing out a decade-long investment in which the business tripled its turnover. Terms were not disclosed. The deal, which requires regulatory approval, transfers ownership of one of the country's largest sports retail and leisure operators from one domestic private equity owner to another.

Old Mutual took majority control in 2015

Old Mutual took majority control in 2015, partnering with founder Darryl Egdes and his management team. Its investment thesis centred on MoreCorp's established positions in golf and cycling, its experienced management team and the opportunity for both sports to become broader lifestyle categories, with consumers increasingly spending on related experiences, communities and services.

The holding period turned a specialist retailer into something broader. MoreCorp acquired SAIL, taking it into sports commercialisation; InfoMasters and ScoreCapture, adding digital capability; and Global Golf Retail, which expanded The Pro Shop's presence through golf course outlets. It also developed new concepts including HotShots and GolfTEC, while Old Mutual provided capital and strategic support to expand the cycling platform. The result is a group that now operates across golf, cycling, sports commercialisation, e-commerce, technology, memberships, rewards and leisure experiences.

Chumani Kula, co-head of Old Mutual Private Equity, said: "When we invested in MoreCorp in 2015, we saw a strong entrepreneurial business with leading positions in attractive specialist markets and significant potential to scale in partnership with a high-quality management team. MoreCorp has since evolved from a collection of strong specialist retail businesses into a broader sports and leisure platform."

Kula led the original deal as an investment principal

At the time, Old Mutual paid more than R300 million for 70% of MoreCorp through its R4 billion Fund IV, with Egdes retaining 20% and management 10%. The investment was framed at the time as a bet on the resilience of South Africa's expanding upper-middle class and the established positions of MoreCorp's golf and cycling brands.

RMB Ventures, the private equity arm of FirstRand, invests from its parent company's balance sheet and targets businesses with recurring pre-tax earnings of at least R40 million. All existing management will reinvest alongside RMB Ventures, with a significant group of new executives also investing in the business. MoreCorp founder and CEO Darryl Egdes said the partnership with Old Mutual gave the business the capital and support to expand its cycling platform, pursue strategic acquisitions and strengthen its systems and governance while retaining its entrepreneurial culture. Today, the platform is substantially larger than its original retail footprint. The Pro Shop operates 11 Superstores and 29 on-course stores, while Cycle Lab has 10 company-owned Superstores. MoreCorp also operates golf and cycling membership platforms, events, tours, digital engagement products and leisure travel.

MyGolfLife and MyCycleLife support its golf and cycling communities, while PlayMoreGolf gives members access to tee times at more than 100 courses across South Africa. The wider ecosystem also includes Flook Sport & Travel and the Cycle Lab Skills and Adventure Park in Bryanston.

Consumers seeking outdoor experiences more than ever

Andrew Aitken, senior partner at RMB Ventures, said: "More than ever, people seek outdoor experiences. Whether it's a round of golf, a weekend mountain bike trail with friends, or the atmosphere of a live concert, these experiences matter, and so does the sense of belonging they help to create. This is precisely what makes MoreCorp an attractive value proposition for RMB Ventures." The shift in MoreCorp's business model is central to the transaction. Old Mutual bought into established golf and cycling businesses. It is exiting a group with revenue streams spanning retail, sports commercialisation, digital services, memberships and leisure experiences. HotShots, the virtual golf entertainment concept at World of Golf, extends MoreCorp's proposition beyond traditional equipment retail. SAIL brings sponsorship, rights management and event work, while the group's technology businesses provide software and digital infrastructure across its operating divisions.

Aitken's comments point to that shift. His examples extend from golf and mountain biking to live entertainment, while his emphasis on access and affordability suggests a broader consumer proposition than the specialist retail model MoreCorp was built around. RMB Ventures is buying a leisure and experiences platform with retail at its base, with the potential to push that platform further beyond the traditional sports consumer.

A rare occurrence in African sports business

Full-cycle private equity exits from African sports businesses are rare. Old Mutual bought into MoreCorp when golf and cycling were at the core of the business, on a bet that South Africa's expanding upper-middle class would support demand for specialist golf and cycling businesses despite slower economic growth. It is selling a company that now earns money from people playing, booking and experiencing those sports, not only from people buying equipment. HotShots extends the World of Golf proposition into golf entertainment. SAIL brings sponsorship, rights management and event work, while MoreCorp also holds the Golf Digest South Africa licence.

Aitken's pitch says as much. He mentions golf and mountain biking, then a live concert, and frames the business around access and affordability for a wider range of consumers. RMB Ventures is buying a leisure and experiences platform with retail at its base, and its plan appears to be pushing that platform beyond the affluent golfer who underpinned the 2015 thesis.

Deal structure

The deal structure also matters for the wider market. A secondary buyout between two Johannesburg investors, with all existing management rolling its equity, shows that a domestic exit route exists for sports-adjacent assets in South Africa without requiring a trade buyer or public listing. Sports investors elsewhere on the continent, from club owners to the bidders for Basketball Africa League franchises, will eventually need credible exit routes for their investments. MoreCorp offers a clear example of one: another financial sponsor, backed by a management team that remains invested in the business. The risk sits in the same place as the opportunity. Golf and cycling retail in South Africa remain exposed to a relatively narrow, higher-income customer base, while tripled turnover over a decade, without disclosed margins or transaction value, does not establish the return Old Mutual achieved. RMB Ventures is betting that experiences and commercial services can grow faster and diversify the business beyond its retail foundations.