According to an undisclosed source, the Saudi-backed fund supporting LIV Golf is acquiring a 20% stake in the union between the European DP World Tour and the PGA Tour, which could cost about $2 billion at current valuations. The Public Investment Fund of Saudi Arabia will be a minor investor, with the PGA Tour maintaining control of the board of the new non-profit entity. Allen & Co. Investment Bank will assess the valuation of the new undertaking by the end of this year, although the current value is estimated to be in the range of $10 billion. Much is still to be determined in this deal, but the PGA Tour will have the majority of directors on the board, with Jay Monahan remaining in his current position as PGA Tour commissioner. The merger, which puts an end to a long-standing dispute between the Tour and LIV Golf, was agreed upon after a protracted period of bitter rivalry, during which LIV Golf targets were banned from participating on the Tour.
According to sources, Saudi Arabia is considering investing $2 billion in a new PGA-LIV tour while the PGA will retain its control.
