Saudi Arabia’s lucrative venture into golf is over after they confirmed they are abandoning their LIV Golf project.
As detailed by Daily Mail Sport on Thursday morning, the decision was confirmed at midday. As expected though, LIV Golf have vowed to continue into the 2027 despite losing its primary financial backer.
Formed in 2022, LIV Golf has been heavily backed to the tune of $6billion by the Saudis but there has been little returns in the tour – while its competitors such as the PGA Tour and DP World Tour continue to thrive.
Despite the major setback, senior figures at LIV are bullish that fresh investors will be attracted to the table.
Thursday’s midday announcement confirmed that Saudi Public Investment Fund governor Yasir Al-Rummayan will be stepping down as LIV chairman, with at least two new board members due to be named.
It is understood that captains in the league were briefed on Wednesday ahead of the announcement, following two weeks of frenzied speculation about the imminent threats to the future of LIV.
Saudi Arabia have confirmed that they have withdrawn their financial backing of LIV Golf
Although it is unlikely to be stated publicly at this stage, one of the survival measures believed to be under consideration is a possible reduction in the playing schedule from 14 tournaments. Such a cut might be essential in consideration of each event currently costing $30m in prize money alone.
LIV’s immediate future, and particularly the retention of Bryson DeChambeau, whose deal is up at the end of the current season, will be contingent on new money pouring in. Daily Mail Sport previously reported that they were looking to private equity to plug that immense shortfall left by the Saudis, with an internal conviction that it will be forthcoming.
Intriguingly, one senior LIV source believes lucrative new avenues will be opened via the removal of the Saudis from the equation owing to the Kingdom’s international reputation around human rights. Time will tell if that’s an excessively optimistic projection.
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