The most disruptive year in golf ended Tuesday when the PGA Tour and European tour agreed to a merger with Saudi Arabia’s golf interests, creating a commercial operation designed to unify professional golf around the world.
As part of the deal, the sides are dropping all lawsuits involving LIV Golf against each other effective immediately.
Still to be determined is how players like Brooks Koepka and Dustin Johnson, who defected to Saudi-funded LIV Golf for nine-figure bonuses, can rejoin the PGA Tour after this year.
Also unclear was what form the LIV Golf League would take in 2024. Commissioner Jay Monahan said in a memo to players that a thorough evaluation would determine how to integrate team golf into the game.
"I think there's no doubt, the players that left, they took the money and ran," said Hollis Cavner, executive director of the 3M Open in Blaine, MN, one of the PGA Tour stops in July. "It's all about the greed. They'll tell you it's about the money. As far as the news this morning, the whole thing is built around getting golf back together. It's not good for anybody, it's not good for any tour."
Speaking to WCCO Radio's Adam and Jordana, Cavner says he was notified just this morning about the changes. He says it is time to put aside everything and focus on reuniting.
“Whether you like the deal or not, it’s good for golf," says Cavner. "We wished it never happened to begin with.”
The agreement combines the Public Investment Fund’s golf-related commercial businesses and rights — including LIV Golf — with those of the PGA and European tours. The new entity has not been named.
“They were going down their path, we were going down ours, and after a lot of introspection you realize all this tension in the game is not a good thing,” Monahan said in a phone interview with The Associated Press.
“We have a responsibility to our tour and to the game, and we felt like the time was right to have that conversation.”
Yasir Al-Rumayyan, the governor of Saudi Arabia’s sovereign wealth fund, will join the board of the PGA Tour, which continues to operates its tournaments. Al-Rumayyan will be chairman of the new commercial group, with Monahan as the CEO and the PGA Tour having a majority stake in the new venture.
Cavner tells WCCO Radio that the PGA has control of the new board and it will not be run by the group behind LIV Golf. He says expect changes like the team aspect and other things LIV used in their rival league.
"Events will be spaced out, 2023 will stay the same, but in 2024 you'll start seeing changes," Cavner says. "I think in the fall you'll see team stuff."
The PIF will invest in the commercial venture. That is something Cavner says he doesn't have a choice in, even if it is uncomfortable for some tournament organizers or fans.
"That money is everywhere. That money won't be involved in the 3M Open, they're not a sponsor of that," Cavner says. "From my perspective, if they're willing to put money in, and it's not hurting other events, enhancing other events, I'm fine with it. I really am."
According to Cavner, this decision was kept incredibly secret. He adds that Monahan is planning to meet with a player's group on Wednesday prior to the start of the RBC Canadian Open.
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Monahan said the decision came together over the last seven weeks. Here is the full quote from Monahan via the PGA:
“After two years of disruption and distraction, this is a historic day for the game we all know and love,” said PGA TOUR Commissioner Jay Monahan. “This transformational partnership recognizes the immeasurable strength of the PGA TOUR’s history, legacy and pro-competitive model and combines with it the DP World Tour and LIV – including the team golf concept – to create an organization that will benefit golf’s players, commercial and charitable partners and fans. Going forward, fans can be confident that we will, collectively, deliver on the promise we’ve always made – to promote competition of the best in professional golf and that we are committed to securing and driving the game’s future.
“We are pleased to move forward, in step with LIV and PIF’s world-class investing experience, and I applaud PIF Governor Yasir Al-Rumayyan for his vision and collaborative and forward-thinking approach that is not just a solution to the rift in our game, but also a commitment to taking it to new heights. This will engender a new era in global golf, for the better.”
“Today is a very exciting day for this special game and the people it touches around the world,” said PIF Governor Yasir Al-Rumayyan. “We are proud to partner with the PGA TOUR to leverage PIF’s unparalleled success and track record of unlocking value and bringing innovation and global best practices to business and sectors worldwide. We are committed to unifying, promoting and growing the game of golf around the world and offering the highest-quality product to the many millions of long-time fans globally, while cultivating new fans.
“There is no question that the LIV model has been positively transformative for golf. We believe there are opportunities for the game to evolve while also maintaining its storied history and tradition. This partnership represents the best opportunity to extend and increase the impact of golf for all. We look forward to collaborating with Jay and Keith to bring the best version of the game to communities around the world.”