LIV Golf has filed for Chapter 11 bankruptcy protection in New Jersey, effectively putting its current business model on hold after five years of operations. The move comes after the Saudi Arabia's Public Investment Fund (PIF) withdrew its financial support in April, redirecting funds towards domestic projects and managing financial pressures resulting from the regional conflict with Iran.
As a result of the PIF's decision, PIF governor Yasir Al-Rumayyan resigned from LIV's board. The withdrawal of funding has left the league with an estimated $5 billion to $8 billion in spending over the past five years, with millions of dollars in unpaid compensation owed to top players, including Jon Rahm, Bryson DeChambeau, Dustin Johnson, and Cam Smith.
The league has already laid off most of its operational staff, left event contractors waiting for payment, and faces a lawsuit from the Premier Golf League alleging breach of confidence and conspiracy. In an effort to continue operating, PIF has provided $50 million to help LIV pay its bills and navigate the bankruptcy case.
A proposed restructuring plan, known as "LIV 2.0," has been put forward, which would see London-based private equity firm BC Partners fund a 2027 relaunch. Under this plan, players would gain majority ownership of the league, and a new format would be implemented, including 75-player fields, 72-hole tournaments, cuts, Monday qualifiers, and a national team structure.
The format proposed by LIV CEO Scott O'Neil closely resembles the traditional tour model that LIV originally sought to replace. However, the league's future remains uncertain, with Chapter 11 proceedings expected to void existing player contracts.
NTC Report coverage is based on reporting from the original publisher.
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