LIV Golfers in the dark over current situation, ‘scramble’ has now been set off

TL;DR

LIV Golf is reportedly facing financial difficulties as Saudi Arabia's Public Investment Fund may stop funding the tour. The situation has led to uncertainty about the future of LIV Golf, with potential for it to fold or seek outside funding.

Key points

LIV Golf may lose funding from Saudi Arabia's Public Investment Fund
The tour is becoming financially unsustainable
LIV Golf could either seek outside funding or fold
Reports of a major announcement created speculation
Uncertainty surrounds the upcoming LIV Mexico event

Photo by Hector Vivas/Getty Images

We are watching the fall of Rome as reports that LIV Golf’s time is finally up flood the timeline.

Saudi Arabia’s Public Investment Fund is reportedly no longer funding the tour, as the project has become financially unsustainable. This means LIV needs to find outside funding, which seems unlikely, or fold completely.

This news surfaced in the build-up to LIV Mexico, as reporters everywhere scrambled for the limited facts available. Initially, all that was reported was that a “bombshell announcement” was coming, but the rest was speculation.

Even the players seemed in the dark, as Anthony Kim took to X to express his surprise. But now we have a clearer picture of what is to come and the scramble that is set to ensue.

Photo by Jared C. Tilton/Getty Images

Full details of LIV Golf’s potential collapse reported

Reports detailing the full extent of this shocking collapse are now surfacing, as we get a clearer picture of why the PIF is withdrawing funding.

Trey Wingo took to X, posting: “Additional reporting after multiple conversations today with sources close to the situation:

“- This is not being characterized internally as a funding cutoff, but rather a transition. LIV Golf is funded through the end of the year, and they were given two choices:

“You can shut it down now or you can ride it out through the end of the year and get outside funding.

“- The expectation is the league will complete the season. Any new capital is unlikely to come from Saudi Arabia’s investment arm, which has shifted priorities.

“- The current geopolitical environment is being used as a legal mechanism to unwind certain PIF-backed commitments — and this is not isolated to LIV Golf.

“- Under CEO Scott O’Neil, LIV Golf’s commercial business has shown significant signs of improvement, including the addition of new flagship sponsors. That creates a potential path to outside investment, though sources describe the process as complex.

“- There was a recent board-level meeting aimed at getting ahead of these developments before the news became public. Sources indicate some internal frustration with how the situation has been handled and the timing of the information becoming public.

“- Multiple sources also indicate that players and agents were not fully aware of the situation as it developed, setting off a scramble.”

If LIV Golf is operating at a deficit that even the Kingdom of Saudi Arabia cannot afford, then it seems beyond the realm of possibility that another investor would step in. This is likely the end.