LIV Golf to close operations after BC Partners withdraws funding

LIV Golf will cease operations and begin winding down its business, according to attorneys who presented the decision to a U.S. Bankruptcy Court judge on Thursday. The league, which launched in 2022, failed to secure the necessary financial backing and player support to launch a reorganized version of the tour.

The immediate catalyst for the closure was the decision by BC Partners not to invest $300 million into the proposed LIV 2.0 structure. The London-based investment firm pulled out of the deal after it could not reach an agreement with other key stakeholders. BC Partners had intended to replace Saudi Arabia's Public Investment Fund as the tour's primary financier.

Attorney Matthew Williams informed Judge Michael B. Kaplan that the league would file a new Chapter 11 bankruptcy plan on Monday. Williams stated that the debtors were unable to bring key parties to a fully consensual arrangement that would support a financially viable league. As a result, the company is shifting its strategy to a value-maximizing wind-down of its business operations.

Player commitment fell short of the threshold required by the investors. A source indicated that approximately 30 players had pledged to compete in the league next season, while another 10 remained undecided. BC Partners decided to terminate its involvement when negotiations with those golfers dragged on past the required timeline. The firm's spokesperson expressed disappointment that mutually acceptable terms could not be reached among the various stakeholders.

Former LIV Golf stars Jon Rahm, Sergio Garcia, and Tyrrell Hatton did not commit to the reorganized tour. These players plan to compete on the DP World Tour for the next season. Their decision to step away removed a core group of marquee names that investors had hoped would anchor the 2027 schedule.

LIV Golf CEO Scott O'Neil issued a statement acknowledging the conclusion of the league's initial era. He described the project as a demanding and inspiring experience that delivered world-class competitions across five continents. O'Neil noted that the team secured pathways to The Open and U.S. Open, earned Official World Golf Ranking points, and attracted premier sponsors during its five years of operation.

The tour voluntarily filed for Chapter 11 bankruptcy protection on September 8. At that time, the company reported having between $100 million and $500 million in assets against liabilities of $500 million to $1 billion. Williams told the court that a wind-down is the most likely way to maximize value for creditors given the current facts.

The Public Investment Fund announced in April that it would not finance LIV Golf beyond the current season. The Saudi state fund had invested more than $5 billion into the circuit. That investment lured top talents such as Bryson DeChambeau and Dustin Johnson away from the PGA Tour with guaranteed contracts exceeding $100 million and events featuring $30 million purses.

LIV Golf stated it would remain open to any value-maximizing alternatives with third parties that might emerge during the wind-down process. Williams emphasized that the decision to shutter the league was made on Thursday morning after intense negotiations over several weeks involving the debtors, BC Partners, the PIF, and the players.