Strategic Sports Group, a consortium of U.S.-based sports franchise owners, agreed to a $3 billion deal to become a minority owner of newly formed PGA Tour Enterprises, according to multiple reports.
In what is considered the most significant sign yet an agreement with LIV Golf is imminent, PGA Tour Enterprises, the for-profit company that was established with the idea of melding the PGA Tour with LIV in some form, would potentially be backed by another $3 billion investment — possibly more — from the Saudi Public Investment Fund that backed the upstart PGA competitor from the start.
The PGA Tour would remain the majority stakeholder in PGA Tour Enterprises under terms of the Strategic Sports Group arrangement, according to reports.
Commissioner Jay Monahan was scheduled to share the details of the new investment with PGA Tour members in what ESPN reported Wednesday would be a “listen only” call, with follow-up sessions scheduled for members to open further dialogue.
Fenway Sports Group and other U.S. sports owners, including the New York Mets’ Steve Cohen and the Atlanta Falcons’ Arthur Blank, formed Strategic Sports Group in order to engage with the tour about helping fund PGA Tour Enterprises.
Monahan and PIF governor Yasir Al-Rumayyan met in Saudi Arabia last week to continue talks geared toward an agreement between the two leagues.
After they originally self-imposed a Dec. 31 deadline to finalize an agreement, the sides pushed it back to extend their negotiations.
The Strategic Sports Group was brought into the fray in December and could bring a semblance of leverage to negotiations between the tours. The PGA Tour policy board held meetings and are scheduled to meet again prior to this week’s AT&T Pebble Beach Pro-Am in California.
A merger would likely include PGA Tour, PGA Tour Champions, the DP World Tour and Korn Ferry Tour members in some combination with LIV Golf, which has already scheduled 2025 events.