PGA Tour strikes US$3 billion deal with Fenway-led investment group, players to get equity ownership
- The move comes eight months after the Tour signed a framework agreement with the Saudi backers of LIV Golf
- Player directors, including Tiger Woods, say they are looking ‘forward to this next chapter and an even brighter future’
The PGA Tour is getting a US$3 billion investment from Strategic Sports Group in a deal that would give players access to more than US$1.5 billion as equity owners in the new PGA Tour Enterprises.
The launching of PGA Tour Enterprises, with SSG as a minority partner, comes eight months after the Tour signed a framework agreement with the Saudi backers of LIV Golf for a commercial venture, and ultimately led to private equity groups wanting to join.
The Associated Press obtained a copy of the announcement expected to be released on Wednesday morning, US time. PGA Tour Commissioner Jay Monahan was holding a conference call with players about the deal that was finalised on Tuesday night.
While negotiations with the Public Investment Fund of Saudi Arabia, which was not part of the deal, are ongoing, the tour said its partnership with SSG allows for a co-investment from PIF, subject to regulatory approval.
“By making PGA Tour members owners of their league, we strengthen the collective investment of our players in the success of the PGA Tour,” Monahan, who will be CEO of PGA Tour Enterprises, said in the formal announcement.
He said a partnership with SSG, a group comprised of American owners and executives of pro sports franchises, will “enhance our organisation’s ability to make the sport more rewarding for players, tournaments, fans and partners”.
