LIV Golf files for Chapter 11 bankruptcy to restructure finances

LIV Golf has filed for Chapter 11 bankruptcy protection in New Jersey as its primary financial support from Saudi Arabia’s Public Investment Fund (PIF) nears its end. The league is seeking to restructure its finances and transition to a new ownership and funding model, which may involve players becoming majority owners.

As part of the restructuring, LIV Golf has entered into a support agreement with BC Partners, a credit arm of the private equity firm, involving approximately $300 million. The league’s legal representatives stated that the filing is a strategic move to allow the organization to catch up with its business plan costs and pursue a significant new transaction.

The bankruptcy filing reveals significant unpaid debts to the league’s star players. Unsecured creditors include Jon Rahm, who is owed $7.5 million, Bryson DeChambeau at $5.8 million, Dustin Johnson at $5.5 million, Cameron Smith at $4.8 million, Adrian Meronk at $4.4 million, and Tyrrell Hatton at $3.4 million.