PGA and Saudi Arabia-backed LIV are actively discussing the merger

The PGA Tour and Saudi-backed LIV Golf have been in active discussions, according to a person familiar with the matter, a year after the two entities stunned the world and announced on CNBC that they had agreed in principle to join forces bundling.

Discussions between the tour and the Saudi Public Investment Fund, which backs LIV Golf, are “extremely active,” the person said.

The newly formed seven-member PGA Tour Transaction Committee – which also includes professional golfers Rory McIlroy and Tiger Woods, as well as Fenway Sports Group founder John Henry – and PIF representatives met every Monday, Wednesday and Friday met in person and remotely on Friday. month, the person added.

The group will meet in person in New York on Friday, with the exception of McIlroy, who will participate remotely.

A PGA Tour representative declined to comment. Representatives of LIV and PIF did not respond.

When PGA Commissioner Jay Monahan and Saudi PIF Governor Yasir Al-Rumayyan announced the proposed combination on CNBC last June, it surprised many after a bitter legal feud between the two competing leagues.

The proposed deal deadline, originally set for December 31, 2023, was extended. The tour has also since agreed to let US investors participate in the mix.

The deal has not yet been completed. But the sides have exchanged term sheets and largely agreed on the financial part of the deal, the familiar said, with the Saudis and the consortium of investors agreeing to each put another $1.5 billion into the tour. The deal will reportedly be structured similarly to their deal with the Strategic Sports Group, a consortium of investors. The parties are now focusing on product-related decisions involving players, schedules, tournaments and media rights, the person added.

The talks do not mean a deal is imminent, but the pace of the process has increased with Al-Rumayyan sometimes attending the weekly meetings, the person said.

DealBook from the New York Times earlier reported on the discussions.

Over the year, the tour has attempted to become more attractive to players and prevent defectors from competing with LIV by rewarding them for their loyalty to the organization. The tour increased prize money at tournaments and created PGA Tour Companiesa new commercial venture that will distribute more than $1.5 billion in equity to players.

“By giving PGA TOUR members ownership of their leagues, we are strengthening our players' collective investment in the success of the PGA TOUR,” Monahan said at the time.

In late January, the tour announced new capital from a group of high-profile investors led by Fenway Sports Group. The SSG is injecting $1.5 billion into the tour and has pledged another $1.5 billion if a deal with the Saudis is completed.

In May, the tour's Jimmy Dunne, considered one of the architects of the deal, abruptly resigned, expressing frustration at the lack of progress.

A source said at the time, Dunne was not on the list Works CouncilHe became frustrated and felt like he was no longer needed.

Before the leagues said last June they would join forces, PIF had lured PGA Tour golfers, including star Phil Mickelson, to LIV with deals worth hundreds of millions of dollars.

Since then, the lengthy and tumultuous deal process has sparked backlash from players, consumers and U.S. lawmakers — who have also questioned and questioned PGA Tour executives. If the merger is completed, it could dramatically change the landscape of professional golf.

After LIV lured players from the Tour with big money deals, Monahan had said the tour was looking at golf “on a global basis” and determined the merger would benefit the sport.

Many critics have accused LIV, which launched in 2022, of “sportswashing,” or spreading influence through sports in an attempt to divert attention from Saudi human rights abuses.

After clear lines were drawn, players expressed frustration with the proposed deal, prompting the tour to increase financial incentives for golfers.

Related Posts

  • Business
  • June 15, 2024
  • 4 views
  • 7 minutes Read
We lower our price target for Salesforce after disappointing guidance

Salesforce shares fell more than 16% on Wednesday after reporting mixed earnings and revised lower expectations. The cloud software company is a high-quality stock in a rough environment – ​​at…

  • Business
  • June 15, 2024
  • 3 views
  • 2 minutes Read
Former SpaceX employees are suing after they were fired after complaining of sexual harassment

Vote on Elon Musk's $56 billion pay package Tesla will vote on Elon Musk's $56 billion pay package after massive layoffs 02:38 Eight former employees have sued SpaceX and its…

Leave a Reply

Your email address will not be published. Required fields are marked *

You Missed

Scores, results, highlights, standings of Euro 2024: Spain demolish Croatia; Italy vs. Albania close day 2

  • June 15, 2024
Scores, results, highlights, standings of Euro 2024: Spain demolish Croatia;  Italy vs.  Albania close day 2

How the group behind the Supreme Court abortion drug case is expanding its fight worldwide

  • June 15, 2024
How the group behind the Supreme Court abortion drug case is expanding its fight worldwide

The best portable Bluetooth speakers of 2024, tested and reviewed

  • June 15, 2024
The best portable Bluetooth speakers of 2024, tested and reviewed

The lines for CNN's June 27 presidential debate

  • June 15, 2024
The lines for CNN's June 27 presidential debate

Chocolate that utilizes the full potential of the cocoa fruit

  • June 15, 2024
Chocolate that utilizes the full potential of the cocoa fruit

We lower our price target for Salesforce after disappointing guidance

  • June 15, 2024
We lower our price target for Salesforce after disappointing guidance

Apple is joining the race to find an AI icon that makes sense

  • June 15, 2024
Apple is joining the race to find an AI icon that makes sense

Hidden costs of homeownership average $18,000 per year

  • June 15, 2024
Hidden costs of homeownership average $18,000 per year

I canceled a group trip. Do I still have to pay for the hotel?

  • June 15, 2024
I canceled a group trip.  Do I still have to pay for the hotel?

Gene could provide large wheat yields for a growing population

  • June 15, 2024
Gene could provide large wheat yields for a growing population

Former SpaceX employees are suing after they were fired after complaining of sexual harassment

  • June 15, 2024
Former SpaceX employees are suing after they were fired after complaining of sexual harassment