LIV Golf, the breakaway professional golf league, is reportedly on the verge of filing for Chapter 11 bankruptcy protection as early as the week of September 7. This development comes as the league's main financial supporter, Saudi Arabia's Public Investment Fund (PIF), intends to end its significant funding after the conclusion of the 2026 season. PIF has invested over $5 billion into LIV Golf since its inception in 2022.
The impending bankruptcy is expected to involve PIF providing a debtor-in-possession (DIP) loan of less than $100 million, without committing to further financial support for the league's operational costs. LIV Golf has reportedly laid off the majority of its staff and has extended settlement offers to its players for guaranteed payouts past 2026. These initial offers are said to be only a few cents on the dollar, signaling a potential "fight it out" scenario for players to secure their owed millions.
The bankruptcy filing is anticipated to occur in the federal district court of New Jersey. This move could potentially precede the finalization of a "LIV 2.0" iteration of the league. BC Partners, a firm interested in an equity-like investment, is reportedly waiting for LIV and PIF to resolve player payments and structure the bankruptcy terms, specifically looking to preserve LIV’s "net operating losses."
