Latest PGA Tour-LIV Golf Developments Will Surprise many including Rory Mcllory
Rory McIlroy, currently ranked as the world’s number three golfer, might be taken aback by recent news that the PGA Tour and LIV Golf’s Saudi backers have officially “exchanged terms.” In a statement at Valhalla before the second men’s major of the year, the 35-year-old McIlroy expressed deep skepticism about the likelihood of a deal…
Rory McIlroy, currently ranked as the world’s number three golfer, might be taken aback by recent news that the PGA Tour and LIV Golf’s Saudi backers have officially “exchanged terms.”
In a statement at Valhalla before the second men’s major of the year, the 35-year-old McIlroy expressed deep skepticism about the likelihood of a deal between the PGA Tour and the Saudi Public Investment Fund (PIF), which backs LIV Golf. This sentiment came just a day after Jimmy Dunne announced his immediate resignation from the PGA Tour’s policy board.
Dunne, a key figure behind the secretive framework agreement made on June 6, 2023, between the PGA Tour and PIF, stated in his resignation letter that his role had become “utterly superfluous.” He felt marginalized in the ongoing discussions, largely due to lingering player resentment towards him. Notably, Tiger Woods and Jordan Spieth were surprised and disagreed with Dunne’s decision to step down.
McIlroy, who is also facing personal challenges, expressed his disappointment over Dunne’s departure, describing it as a significant loss for the North American circuit. Dunne had been a crucial link between the PGA Tour and PIF.
Despite the setbacks, the New York Times reports that the deal between the PGA Tour and LIV Golf remains “very much alive.” Journalist Lauren Hirsch revealed that the two organizations have recently “exchanged terms,” even though the process has been fraught with missed deadlines and resignations.
Hirsch’s report highlights that after securing a substantial investment from U.S. investors, including hedge fund mogul Steven Cohen in January, questions arose about the status of the Saudi deal. However, negotiations are ongoing, and the PIF and PGA Tour have exchanged term sheets for a deal where the Saudis would invest $1.5 billion into the tour’s for-profit arm. If successful, PGA Tour Enterprises would receive a total of $3 billion in funding, while still retaining majority control. Nonetheless, this deal would likely face scrutiny from the Justice Department.
This news is expected to be surprising to McIlroy, who resigned from the policy board five months ago, citing frustration over the lack of progress. It is believed that Dunne and PIF officials requested McIlroy’s return, which he agreed to. However, his reinstatement was blocked by Woods, Spieth, and Patrick Cantlay. Despite this, McIlroy has maintained that there is no bad blood.
Currently, McIlroy is part of a “transaction subcommittee,” comprising three active players involved in direct negotiations with PIF. Alongside McIlroy are Woods, 48, and former Masters champion Adam Scott.