LIV Golf, less than five years after its inception, filed for Chapter 11 bankruptcy protection in New Jersey on Tuesday, September 8, 2026. This move, widely anticipated after the Public Investment Fund (PIF) of Saudi Arabia ceased its financial backing, aims to restructure the league and create an innovative player-first ownership model. The filing estimates assets between $100 million and $500 million, with liabilities ranging from $500 million to $1 billion. Notably, several star golfers are listed as creditors still owed millions in unsecured claims, with Jon Rahm topping the list at nearly $7.5 million.
The restructuring plan involves a Restructuring Support Agreement with BC Partners Advisors L.P., which is expected to provide exit financing and act as the plan sponsor. The PIF has also agreed to provide $49.6 million in debtor-in-possession (DIP) financing, subject to court approval. LIV Golf intends to emerge from bankruptcy by early 2027, with the reorganized company expected to be majority-owned by players. This new structure aims to align players' interests with the league's long-term success, although it's understood that players are not obligated to sign on to the new LIV 2.0, and existing contracts will terminate through the bankruptcy process.
LIV Golf CEO Scott O’Neil emphasized that this process provides the structure and time to pursue a landmark transaction and begin a new chapter for the league, built around fans and an innovative, player-first ownership model. The initial spending by PIF on LIV Golf exceeded $5 billion before the funding was pulled in April. The new iteration of LIV Golf, while aiming for player equity and individual commercial rights, is expected to feature lower prize money purses compared to the PGA Tour, but still higher than the DP World Tour. Proposed changes include expanding field sizes to 75 players, introducing a cut, and creating more teams with national identities, with the goal of developing enduring global sports businesses.
