PGA Tour Will Lead PIF Merger, Looks to Assure Players As Framework Becomes Known

The PGA Tour will reportedly lead the new entity that has yet to be named as its partnership with the Saudi Arabia Public Investment Fund (PIF) continues to unravel.

Golf Channel is now reporting that, according to a source familiar with the matter who requested anonymity, the PGA Tour is looking to ensure that it will maintain the lead in the new entity, which is tentatively called NewCo in the agreement.

🚨JUST IN: At a player meeting scheduled for later today, the PGA TOUR plans to re-assure players that they remain in control of the league following the agreement with the PIF. (Via @golfchannel)

— NUCLR GOLF (@NUCLRGOLF) June 20, 2023

The agreement will combine the for-profit assets of the PGA Tour, DP World Tour, and LIV Golf into NewCo, with the PIF making what is being considered a “minority investment” based on the evaluation of the new entity. The Tour has the right to decline subsequent investments from any investor.

The Tour’s assets include media rights, sponsorship, the TPC network, and any licensing agreements. The Board for NewCo will be comprised of PGA Tour commissioner Jay Monahan, PIF governor Yasir Al-Rumayyan, Jimmy Dunne, and Ed Herlihy.

However, none of this has been confirmed by the Tour in an official statement, which is why players are frustrated, as they are being left in the dark. A players-only meeting the evening the agreement was reached was hostile and “universally negative.” Many of the players that remained loyal to the PGA Tour are seeking some sort of payout for not taking what would have been a signing bonus that could have equated to more than some of them earned throughout their careers.

The Times reported that the PIF is planning a compensation fund for players like Rory McIlroy, Jon Rahm, and others who chose to stay with the PGA Tour and not leave for LIV.

The report states:

“The plan would allow players such as Phil Mickelson, Lee Westwood and Sergio García to keep the money they were paid to join LIV Golf but would also hand leading players on the PGA Tour substantial payments from the new entity to “level up” their financial rewards, according to a source with knowledge of the proposal.”

Even still, it has been weeks since the agreement has come to fruition, and players and others are still hoping for clarity. Tom Watson penned a letter to the new entity hoping for closure and information.

Cover Image Via Today’s Golfer