Liv Golf Expects 400 Million From Saudi Arabia

Last Tuesday, LIV Golf CEO Scott O'Neil stated on CNBC's "Halftime Report" that the tour will take three years to become profitable if it manages to implement its new model by 2027. It's worth noting that the Saudi Arabian Public Investment Fund (PIF) announced it will only provide funding until the end of this season.

LIV recently held its tournament in Spain, and its next event isn't scheduled until July 23 in England, as the New Orleans tournament was postponed indefinitely. During the CNBC interview, O'Neil was asked, "Can you guarantee today that the four remaining tournaments on your schedule will actually take place?"

"What I can guarantee is incredible profitability if you invest in this business," O'Neil replied. Given his evasiveness, the next question followed the same line, focusing on whether the PIF would honor its commitments. The CEO of LIV said, "We have to trust the word of such an incredible organization as the PIF." He passed the buck to his current sponsor.

According to the Financial Times, LIV is still waiting for approximately $400 million in payments from the PIF, corresponding to the funds needed to organize the final tournaments of its season. The tournaments in the UK, New York, Indianapolis, and Michigan are still pending. According to the prestigious business daily, there is currently concern regarding the last two events. The PIF reportedly made a $200 million payment recently, out of the $600 million needed to finish the season.

Remember that the prize money per tournament this season increased to $30 million (€25 million), with $22 million for the individual category and $8 million for teams. The final prizes for the points and team rankings must also be taken into account. Last year, the LIV Golf individual champion took home $18 million and the runner-up $8 million.

Looking ahead to next year, LIV Golf has received an unexpected indirect blow. The so-called LIV Golf 2.0 was planning to partner with historic national tournaments to solidify its new calendar. The Australian Open was included in their plans because they have a team from that country. Two days ago, the PGA Tour announced a three-year agreement with the DP World Tour and Golf Australia to promote the Australian Open. A well-planned move by the PGA to weaken its rival and, incidentally, enter a market that has been very profitable for LIV.