Report: Fenway Sports Group put in 'monster' PGA Tour offer to usurp PIF
According to a report, the PGA Tour are mulling a 'monster' investment offer by Fenway Sports Group as negotiations with LIV Golf intensify.
Fenway Sports Group, the owners of Premier League club Liverpool, have made a 'monster' offer to the PGA Tour that would top the Saudi PIF's, according to a report.
Per Alan Shipnuck, the journalist claims he has heard the framework agreement between the North American circuit and LIV's financiers is quickly 'falling apart'.
The author cited sources on Wall St. and in Silicon Valley whom he claims are 'close to the deal'.
"It looks increasingly likely we go back to LIV vs. the Tour," he wrote.
The aforementioned framework agreement was announced on 6 June. A few days after the remarkable announcement, the five-page document was leaked.
You can read it in full here.
It was signed on 30 May by PGA Tour commissioner Jay Monahan, his European counterpart Keith Pelley and the alleged mastermind behind the rival league, Yasir Al-Rumayyan.
Talks to ratify the vague agreement, which is essentially a deal to work towards a deal, have clearly intensified after the Ryder Cup.
Davis Love III recently suggested PIF representatives are being tough on the negotiations and described the current stalemate as 'bizarre'.
Another report by Golf Channel suggested LIV players believe the deal is unlikely to be agreed.
Speaking on the condition of anonymity, one breakaway tour pro said: "We're no further along in this thing. It's the same group of people involved [on both sides].
"I've not really seen any change at the Tour. I don't think anything's going to happen."
From talking to folks on Wall St. and in Silicon Valley who are close to the deal, the framework agreement is falling apart. Fenway Sports Group has put in a monster bid to usurp the PIF. It looks increasingly likely we go back to LIV vs. the Tour. https://t.co/jfAvBO4B9y
— Alan Shipnuck (@AlanShipnuck) November 2, 2023
What does this mean?
Analysis by Ben Smith
If true, this is an interesting but largely expected development. We have heard there are a number of parties interested in investing in the Tour.
Should the NewCo. get set up, it would certainly be more palatable and help appease politicians who voiced their concerns over LIV Golf if the PIF's investment is diluted considerably.
Alternatively, if the Tour had the backing FSG - valued at approximately $7.35bn - it would allow them to battle LIV in the future without worrying about their resources being depleted.
Tiger Woods and Rory McIlroy's TGL will also put more guaranteed money in players' pockets, meaning its unlikely anyone who signed up to the tech-fused golf league will join LIV in the future.
Four months ago, the aforementioned Monahan complained to the U.S. government the PGA Tour was left to fend for itself as they battled LIV.
He said: "While we are grateful for the written declarations of support we received from certain members, we were largely left on our own to fend off the attacks, ostensibly due to the United States' complex geopolitical alliance with the Kingdom of Saudi Arabia."
It's clear Monahan always wanted to go it alone. The question now is, does the Tour finally have the cash to do so?
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Ben joined the GolfMagic team in September 2021, initially as a content executive.
These days, he assumes the position of content manager.
