After years of resisting the lucrative offer from LIV Golf, Tiger Woods expressed his openness to having the Saudi government’s Public Investment Fund as an investor in the PGA Tour. Woods addressed the PIF during a press conference preceding The Genesis at Riviera, which marks his comeback to the Tour since the 2023 Masters.
“Our ultimate goal is to include the PIF as a part of our tour and our overall product,” Woods stated. “Currently, we do not have the financial means to do so, and the funds they have brought to the table align with our initial agreement in the framework. Anything beyond this would obviously be additional. We are currently in a position where we hope to enhance our product in both the short and long term.”
Accepting funds from the Saudi government has raised ethical concerns among some PGA Tour players. Phil Mickelson, the first to join LIV Golf, acknowledged this issue in his deal with LIV, as described in an excerpt from Alan Shipnuck’s biography on the left-handed golfer.
“They are extremely intimidating individuals to get involved with,” Mickelson remarked. “We are aware of their involvement in the killing of [Washington Post reporter and U.S. resident Jamal] Khashoggi and their abysmal human rights record. They even execute individuals for their sexual orientation. Knowing all of this, why would I even consider it? Because this is a once-in-a-lifetime opportunity to revolutionize the operations of the PGA Tour.”
Mickelson later retracted his comments regarding Khashoggi’s murder once LIV Golf commenced its operations, stating, “I think we all agree that the Khashoggi situation was reprehensible. No one can argue against that. But we are golfers.”
The PGA Tour has already reached a $3 billion agreement with Strategic Sports Group (SSG), a consortium of billionaire sports team owners led by John Henry and Tom Werner from Fenway Sports Group. Other investors include Mark Attanasio (Milwaukee Brewers), Arthur Blank (Atlanta Falcons), Wyc Grousbeck (Boston Celtics), and Steve Cohen (New York Mets), among others. The funds from SSG were utilized to establish PGA Tour Enterprises, a profit-oriented entity initially intended to establish a framework between the PGA Tour, the DP World Tour, and the PIF. However, an agreement could not be reached with the original parties by the December 31, 2023 deadline.
According to a memo sent to PGA Tour players on February 7, the deal with SSG could potentially distribute $930 million in equity among past, present, and future players. An additional $600 million would be allocated through recurring grants.
Considering the agreement with SSG, the PGA Tour may not even require a deal with the PIF. When asked about the SSG deal, PGA Tour Policy Board member Jordan Spieth commented that discussing a deal with the PIF is currently “almost irrelevant.” Spieth also mentioned that a partnership with the backers of LIV Golf would bring about a “unification” between the two golf leagues. Nevertheless, when specifically questioned about a deal, Spieth expressed his belief that it is unnecessary.
According to ESPN, an additional agreement with the PIF could potentially inject another $3 billion or more into PGA Tour Enterprises.
According to the Source deadspin.com