The PGA Tour is finalizing a multibillion-dollar investment agreement with a consortium of U.S. sports team owners, while it still hopes to reach a deal with the Saudi Public Investment Fund as well, ESPN reported Friday.
The tour has sought investment for a new for-profit entity, PGA Tour Enterprises, the idea of which was first established in the framework agreement with the PIF back in June. The deadline to ratify a firmer agreement is Dec. 31.
On Sunday the tour announced it was advancing negotiations with both the PIF and Strategic Sports Group, a collection of billionaire team owners fronted by Fenway Sports Group. Other notable owners in the investment group are Arthur Blank (Atlanta Falcons), Wyc Grousbeck (Boston Celtics), Marc Lasry (Milwaukee Bucks) and Steve Cohen (New York Mets).
ESPN reported that more than $3 billion would be injected by Strategic Sports Group into the new entity.
The PGA Tour seeks to control PGA Tour Enterprises while having Strategic Sports Group and the PIF as minority owners, the report added.
PGA Tour commissioner Jay Monahan has yet to meet with PIF governor Yasir Al-Rumayyan after previous meetings were postponed.
The meetings could ultimately decide the fate of LIV Golf, the league funded by Saudi wealth that started men’s professional golf down the path to a schism. LIV CEO and commissioner Greg Norman claimed to ESPN that the league will not be going away no matter the result of the PGA-PIF discussions. But the initial framework agreement said LIV’s future would be up to a board with a PGA Tour-controlled majority.
Tensions between the PGA Tour and PIF could be higher now that LIV Golf signed Spanish star Jon Rahm earlier this month.
–Field Level Media
