After suffering its worst public relations loss in months, the PGA Tour is attempting to push forward with its ongoing negotiations with Saudi Arabia’s Public Investment Fund while at the same time announcing negotiations with a separate investor. At stake: The future health and operation of the half-century-old PGA Tour.
The Tour spent most of 2022 and 2023 watching as LIV Golf, the breakaway tour funded by the PIF, picked off notable PGA Tour names one by one — Phil Mickelson, Dustin Johnson, Brooks Koepka, Bryson DeChambeau and more. The movement of major names halted in the wake of a surprise agreement between the Tour and the PIF, announced in early June, that ended legal hostilities between the two. The two sides agreed to a deadline of Dec. 31 — now just three weeks away — to formalize an agreement that would establish a framework for professional golf in the coming years.
But LIV stepped up with a vengeance this week, signing world No. 3 Jon Rahm in a move that rocked the already delicate negotiations between the two. Rumors also persist that at least two other top-25-ranked players who are currently on the PGA Tour will jump to LIV Golf in the coming weeks.
Sunday afternoon, the Tour announced in a memo to its members that while it is continuing negotiations with the PIF, it will also be moving forward with negotiations with Strategic Sports Group, a group of investors with extensive experience in sports investments.
The Tour is negotiating with various groups because of the rapidly escalating costs of doing business. LIV’s arrival in the golf world forced the PGA Tour to substantially increase purses, bonuses and guaranteed payouts to its members. If the Tour is able to secure an agreement with the PIF, SSG, or both, it will be able to tap into vast financial resources not currently available.
Strategic Sports Group’s investors include a number of well-known figures in sports ownership, including Mark Attanasio, owner of the Milwaukee Brewers; Arthur Blank, owner of the Atlanta Falcons; John Henry, owner of the Boston Red Sox; Steve Cohen, owner of the New York Mets; and Wyc Grousbeck, owner of the Boston Celtics. Many of the investors in Strategic Sports Group are also investors in the currently delayed TGL, the indoor golf league created by Tiger Woods and Rory McIlroy.
“We also anticipate advancing our negotiations with PIF in the weeks to come,” the Tour indicated in its memo. “Further, the DP World Tour will continue to be an important part of the process as we build toward PGA Tour Enterprises.”
Daniel Miller is a sports fanatic who lives and breathes athletics. His coverage spans from major league championships to local sports events, delivering up-to-the-minute updates and in-depth analysis for sports enthusiasts.
