The PGA Tour and LIV Golf announced a merger of their companies on Tuesday, creating a new golf entity and effectively ending their long rivalry and legal battles that have existed since LIV began.
The Public Investment Fund (PIF), the primary financial supporter of the LIV, will make a significant investment in the new entity that includes the “golf-related commercial businesses and rights” of the LIV Tour, the PGA Tour, and the DP World Tour and become a minority owner.
“After two years of disruption and distraction, this is a historic day for the game we all know and love,” PGA Tour Commissioner Jay Monahan said in the official announcement on the PGA Tour website. “This transformational partnership recognizes the immeasurable strength of the PGA TOUR’s history, legacy and pro-competitive model and combines with it the DP World Tour and LIV – including the team golf concept – to create an organization that will benefit golf’s players, commercial and charitable partners and fans. Going forward, fans can be confident that we will, collectively, deliver on the promise we’ve always made -– to promote competition of the best in professional golf and that we are committed to securing and driving the game’s future.”
The LIV was founded in 2021 and began playing with its unique no-cut and team golf formats and extravagant prize purses under the watch of the PIF and PGA legend Greg Norman, who served as the new league’s CEO. Eventually, the LIV Tour attracted many notable PGA veterans like Brooks Koepka, Phil Mickelson, Dustin Johnson, Sergio Garcia, and Lee Westwood.
Mickelson appeared to support the move, retweeting a CNBC report and adding, “Awesome day today 😊.”
The LIV is currently playing its second season, which will finish as scheduled before joining the new entity.
“Today is a very exciting day for this special game and the people it touches around the world,” PIF Governor Yasir Al-Rumayyan added in the announcement. “We are proud to partner with the PGA TOUR to leverage PIF’s unparalleled success and track record of unlocking value and bringing innovation and global best practices to business and sectors worldwide. We are committed to unifying, promoting and growing the game of golf around the world and offering the highest-quality product to the many millions of long-time fans globally, while cultivating new fans.
“There is no question that the LIV model has been positively transformative for golf,” Al-Rumayyan continued. “We believe there are opportunities for the game to evolve while also maintaining its storied history and tradition. This partnership represents the best opportunity to extend and increase the impact of golf for all. We look forward to collaborating with Jay and Keith to bring the best version of the game to communities around the world.”
Monahan sent a letter explaining the decision to members of the PGA, who found out about the merger at the same time as the general public.
In the letter, Monahan explains that there are still certain aspects to figure out and finalize. Still, the PGA Tour will continue to oversee the administration of its events, competitions, and rules, and he will remain the commissioner.
The new entity will be governed by a Board of Directors, which will be selected by the PGA Tour and include Monahan and Al-Rumayyan and will work to incorporate the team golf aspect as well as fair policies to reacclimate golfers to the PGA Â in line with the rules of each Tour.
The announcement was met with mixed reactions, but everyone was caught off guard.
Several players were taken aback by having to find out through Twitter and other news channels without any indication of the move from their respective leagues.
“I love finding out morning news on Twitter,” tweeted Collin Morikawa.
Many analysts praised the move as a “great day for golf” and a “smart business move.”
“I love it,” ESPN’s Stephen A. Smith said Tuesday morning on First Take. “I love it, and I’m about to do something I never thought I would ever do on national television, and that’s give PGA Commissioner Jay Monahan some love and some credit. This is smart business on his part; make no mistake about it…”
Still, others were more hesitant and even labeled the move as “sportswashing.”
Fans were also surprised with many comparing the merger to the negotiations between Dunder Mifflin and The Michael Scott Paper Company on the popular television series, The Office, while others were quick to point out the financials aspect and label the PGA as “sellouts.”
Nonetheless, the PGA Tour and LIV Golf will work together to unite the golf world and navigate the future of the sport.
Trackbacks/Pingbacks