The PGA TOUR, DP World Tour, and the Public Investment Fund (PIF) have reached an unprecedented agreement to establish a momentous commercial entity aimed at unifying and advancing the game of golf on a global scale. This landmark collaboration signifies a significant milestone, promising to reshape the golfing landscape and enhance the experience for players, fans, and sponsors. The agreement also marks the end of ongoing litigation, allowing the parties to move forward collaboratively.
The newly formed entity, which is yet to be named, will combine the golf-related commercial businesses and rights of PIF (including LIV Golf) with those of the PGA TOUR and DP World Tour. This collective, for-profit entity will ensure that all stakeholders benefit from an exciting and competitive environment for the world’s top golfers.
As part of the agreement, PIF will make a capital investment to facilitate the growth and success of the new entity. With a focus on fan engagement and the acceleration of existing growth initiatives, the entity will drive the combined commercial businesses forward. Additionally, the PGA TOUR, DP World Tour, and PIF will collaborate to feature and enhance team golf, building upon the progress of LIV Golf’s second groundbreaking season.
Importantly, the announcement signals the end of ongoing litigation between the involved parties. Moving forward, the organizations will work cooperatively to establish fair and objective processes for players who wish to re-apply for membership with the PGA TOUR or the DP World Tour after the completion of the 2023 season, ensuring transparency and adherence to each Tour’s policies.
PGA TOUR Commissioner Jay Monahan expressed enthusiasm for this historic partnership, recognizing its transformative potential for the sport. He praised the strength of the PGA TOUR’s pro-competitive model, which, combined with the DP World Tour and LIV Golf, will create an organization dedicated to benefiting players, commercial partners, and fans. Monahan affirmed the commitment to promoting competition at the highest level and securing the future of golf.
Yasir Al-Rumayyan, PIF Governor, echoed the sentiment, describing the day as exciting and emphasizing the commitment to unify, promote, and grow the game globally. Al-Rumayyan highlighted the transformative impact of the LIV model on golf, expressing a belief in the potential for the game to evolve while maintaining its cherished history and tradition. The partnership aims to deliver the best version of the game to communities worldwide.
The new entity’s Board of Directors, chaired by Al-Rumayyan and led by Monahan as CEO, will oversee all golf-related commercial operations, businesses, and investments. Working together, the entity will ensure a cohesive schedule of events, offering excitement for fans, sponsors, and stakeholders. PIF will initially be the exclusive investor alongside the PGA TOUR, LIV Golf, and the DP World Tour, with potential for further investment. The PGA TOUR will appoint a majority of the Board and hold a majority voting interest in the combined entity.
PGA TOUR Inc. will continue to function as a 501(c)(6) tax-exempt organization, overseeing the administrative aspects of events contributed by the PGA TOUR. Jay Monahan will remain as Commissioner, and Ed Herlihy will serve as PGA TOUR Policy Board Chairman. Yasir Al-Rumayyan will join the PGA TOUR Policy Board. Similarly, the DP World Tour and LIV Golf will retain administrative oversight of events on their respective tours.
The Board of Directors of the new commercial entity will include Al-Rumayyan as Chairman and Monahan as CEO. An Executive Committee, consisting of Al-Rumayyan, Monahan, Herlihy, and PGA TOUR Policy Board member Jimmy Dunne, will provide additional leadership. The full Board, including representation from all three founding members, will be announced in the future.
Keith Pelley, Chief Executive of the DP World Tour, expressed his excitement about the new entity, highlighting the opportunity to reignite the relationship with PIF and build upon the existing Strategic Alliance partnership with the PGA TOUR. Pelley emphasized the collective strength that will enable them to bring the game to global audiences and energize DP World Tour members.
In the coming months, all parties will work together to finalize the agreement’s terms, with further details to be announced in due course. This collaborative endeavor holds immense promise for the future of golf, paving the way for innovation, growth, and the continued global expansion of the sport.
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