LIV Golf is “attempting to forge ahead on its own,” announcing the creation of an independent BOD after Saudi Arabia’s PIF is pulling funding after this year and SBJ’s report that LIV Chair Yasir Al-Rumayyan is stepping down from his role, according to Bob Harig of SI. Eugene Davis and Jon Zinman were the first two people named to LIV’s board in an “attempt to find more investment.” Davis is the chair and CEO of Pirinate Consulting Group, a “privately held consulting firm.” Zinman is the founder and managing member of independent strategic advisory firm JZ Advisors LLC. The task ahead for LIV “is daunting,” as the PIF has put more than $5B into the initiative. The circuit spends more than $40M per event “without the backing of a significant television media rights deal and title sponsorship.” Meanwhile, LIV appears committed to its team format. The 13 franchises are “still viewed as a potential lucrative revenue source as the expectation all along has been to sell them, reap the revenue from those teams, and let them operate on their own as franchises” (SI, 4/30).
PIF MAKES ITS OFFICIAL: The PIF on Thursday made its move official, putting out a statement that reads, “PIF has made the decision to fund LIV Golf only for the remainder of the 2026 season. The substantial investment required by LIV Golf over a longer term is no longer consistent with the current phase of PIF’s investment strategy. This decision has been made in light of PIF’s investment priorities and current macro dynamics. The LIV Golf Board has created a committee of independent directors to evaluate strategic alternatives for its future beyond PIF’s funding horizon. LIV Golf has substantially grown the game globally through its transformational and positive impact. It has forever changed the game of golf for the better. PlF remains committed to deploying capital internationally in line with its investment strategy, including its substantial current and future investments in various sports as a priority sector” (SBJ).
FACING AN UPHILL CHALLENGE: The WALL STREET JOURNAL’s Andrew Beaton notes while LIV seeks outside investors, it will be “nearly impossible for it to exist bearing any resemblance to its current form after the Saudis lost billions on the endeavor.” They paid “exorbitant fees to put on tournaments with lucrative purses featuring elite players” (WALL STREET JOURNAL, 4/30). In London, James Corrigan cited sources saying that there are “investors interested in backing certain teams,” but with LIV reportedly losing $100M a month it is “difficult to see how O’Neil will raise the funding required to keep the league alive in anything like its current guise” (London TELEGRAPH, 4/30). Also in London, Broadbent, Kershaw & Ziegler notes if LIV “is to survive it seems it will be a very different entity with fewer events.” O’Neil is telling investors that “ten LIV teams will be profitable this year and the organization” is $100M up on last year’s revenue at this stage. However, the prospect of staging events in their present format without Saudi backing “seems incomprehensible” (London TIMES, 4/30).
WHAT COULD LIV 2.0 LOOK LIKE? The AP’s Doug Ferguson noted there are plans to reposition the league for 2027 and beyond, though that “likely would be with fewer than the 14 events on this year’s schedule.” It also plans to lean into the concept of team franchises (AP, 4/29). SKYSPORTS.com’s Weir & Mehta cited sources saying that LIV “remains committed to a global tour,” having seen over 200,000 fans attend events in Australia and South Africa this year, and team golf model. It is understood that LIV “went over the plan with its 13 team captains in a call” on Tuesday evening. It also is thought that this has been “part of LIV Golf’s long term plans for a number of months but has been accelerated in recent weeks.” Sources added that LIV is “open to new structures in its format.” However, the removal of funding “casts doubt on the league’s overall future and the ability to retain the services of stars” like Cameron Smith DeChambeau and Rahm (SKYSPORTS.com, 4/30). ESPN.com’s Mark Schlabach cited sources saying that the league is “open to several new models,” including fewer tournaments, only staging international events or a “potential merger with the DP World Tour” (ESPN.com, 4/30).
AL-RUMAYYAN ABSENCE LOOMS LARGE: THE ATHLETIC’s Brody Miller wrote the loss of Al-Rumayyan is a “sizable shift from one of golf’s main characters in recent years.” While former CEO Greg Norman was the primary face of LIV’s ascent, Al-Rumayyan was the “somewhat mysterious force in the background, providing funding and making deals.” He also was the “core figure” in the June 2023 framework agreement with the PGA Tour. Sources believed that Al-Rumayyan “championed LIV” within the PIF. He particularly “emphasized the team model” (THE ATHLETIC, 4/29). GOLF DIGEST’s Joel Beall noted Al-Rumayyan “rarely spoke on the record and almost never held press conferences,” and became a “kind of shadow presence in the sport—the man on the other end of every rumored deal, the one whose checkbook everyone was waiting on.” He remains the PIF governor as his position within Saudi Arabia’s economic apparatus “is unchanged” (GOLF DIGEST, 4/29). ESPN.com’s Paolo Uggetti wrote Al-Rumayyan “long wanted a seat at the table with the sport’s leadership” (ESPN.com, 4/29).
MISSING CRUCIAL ELEMENT FROM GET-GO: In N.Y., Mark Cannizzaro wrote LIV Golf essentially became a “series of exhibitions.” They were “good shows for golf fans who were on site at the events because they could get up close and see the players, unlike some of the top PGA Tour events.” However, they were a “TV disaster.” At the end of the day, the “lack of consequence for winning a LIV Golf event was the downfall of the entire concept.” Cannizzaro: “It sucked the hunger to win from the players. And, for those who won events, it was a case of multimillionaires getting richer” (N.Y. POST, 4/29).
