LIV Golf Bankruptcy
LIV Golf plans Chapter 11 bankruptcy protection as funding talks continue.
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Key Points
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Chapter 11 filing could occur before LIV 2.0 is finalized, indicating the bankruptcy path may proceed without the new circuit being fully in place.
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BC Partners’ credit arm, led by Ted Goldthorpe, is identified as the likely lead investor driving the financing terms, with a September deadline for a definitive agreement.
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BC Partners executives have attended LIV tournaments in Indiana and New Jersey to pitch to players on the potential deal.
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Layoffs at LIV and indications that Saudi backer PIF is pulling back funding point to increased cost-cutting pressures amid the funding squeeze.
LIV Golf is preparing to file for Chapter 11 bankruptcy protection as early as the week of September 7, Financial Times reported, marking a dramatic escalation in the Saudi-backed circuit's financial crisis. The league plans to secure a debtor-in-possession loan under $100 million from Saudi Arabia's Public Investment Fund to fund a slimmed-down 2027 operation, though Reuters could not independently verify the timeline.
LIV has offered players guaranteed payments beyond 2026 only "a few cents on the dollar," reflecting sharply reduced funding after the PIF pulled back support. Golf Magic reported that the bankruptcy filing could proceed without LIV 2.0, the planned new circuit, being fully finalized, and that BC Partners' credit arm is leading financing talks with a September deadline.
Saudi Backer Cuts Funding as Losses Mount
The Public Investment Fund has drastically reduced its financial backing for LIV, forcing the league into cost-cutting mode. Newsmax reported that LIV has laid off most of its workforce as it struggles to fund operations. The funding squeeze has left LIV unable to honor the full guaranteed payments promised to players, offering only pennies on the dollar for commitments beyond 2026.
This represents a stunning reversal for the circuit, which launched in 2022 with seemingly unlimited Saudi capital. The PIF's pullback signals that the kingdom is reassessing its investment in the golf venture amid the mounting losses and lack of competitive progress against the PGA Tour.
BC Partners Steps In With Restructured Deal
BC Partners' credit division, led by Ted Goldthorpe, is positioned as the lead investor in a restructuring that could preserve some value for LIV stakeholders. Golf Magic reported that BC Partners executives have attended LIV tournaments in Indiana and New Jersey to pitch the potential deal to players. A definitive agreement is targeted for September.
The financing structure appears designed as a pre-packaged bankruptcy that could allow coordinated settlements with players, lenders, and other investors. This approach would help address LIV's net operating losses while avoiding prolonged Chapter 11 proceedings.
Players Face Steep Haircut on Future Payments
LIV has informed players that guaranteed payments beyond 2026 will be severely reduced. Yahoo Sports reported that settlement offers represent only "a few cents on the dollar" of what players were initially promised, creating significant financial pain for participants who joined the circuit based on guaranteed money.
The bankruptcy move could allow LIV to shed player contracts and restructure obligations through the court process. This would give the league a fresh start but leave many players holding worthless or heavily discounted guarantees from one of golf's richest-ever ventures.
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