Callaway Golf Co. will acquire premium outdoor apparel brand Jack Wolfskin for 418 million euros.

Callaway said it expects the transaction to close in the first quarter of 2019. The deal follows the acquisitions of TravisMathew and Ogio last year. All three transactions represent a greater foray by Callaway into the active and outdoor categories.

Jack Wolfskin is expected to continue operating out of its headquarters in Idstein, Germany. Callaway said it plans to finance the deal with a $476 million term loan financing facility.

Shares of Callaway Golf closed Friday’s session down 9.4 percent to $17.13 in Big Board trading, indicating that investors weren’t exactly keen on the move.

Jefferies analyst Randal J. Konik, who had a “Buy” rating on Callaway shares before the deal was disclosed, reiterated his rating on the stock Friday. Konik said the acquisition wasn’t “necessary,” but does represent the potential for “significant distribution synergies and revenue diversification and margin enhancement. He noted that the tepid investor reaction could have stemmed in part from expectations for lackluster near-term growth.

Konik noted that Jack Wolfskin’s product categories include a 77 percent presence in apparel, 13 percent in footwear and 10 percent in equipment. Fifty-two percent of its sales are in Germany, Austria and Switzerland. China at 21 percent is its second largest sales region. And the combination of Wolfskin with last year’s two acquisitions could be an opportunity to “de-seasonalize” Callaway’s existing business, the analyst said.

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