The PGA Tour agreed to merge with Saudi-backed competitor LIV Golf to create one larger golf organization, the tour announced Tuesday, ending pending antitrust litigation between the two rivals.
The agreement will combine the PGA Tour’s and LIV Golf’s commercial businesses into one for-profit entity that has yet to be named. This will also include the DP World Tour, which is also known as the European PGA Tour.
The PGA Tour said in the announcement that the former competitors will aim to “implement a plan to grow these combined commercial businesses, drive greater fan engagement and accelerate growth initiatives already underway.”
“After two years of disruption and distraction, this is a historic day for the game we all know and love,” PGA Tour Commissioner Jay Monahan said in a statement.
“This transformational partnership recognizes the immeasurable strength of the PGA TOUR’s history, legacy and pro-competitive model and combines with it the DP World Tour and LIV — including the team golf concept — to create an organization that will benefit golf’s players, commercial and charitable partners and fans,” he added.
This agreement comes after more than a year of ongoing antitrust litigation between the two competitors as LIV Golf entered the professional golf world. LIV Golf, founded in 2021, is backed by the Saudi Arabia Public Investment Fund, an entity led by Saudi Crown Prince Mohammed bin Salman.
Tuesday’s press release noted that the Public Investment Fund will make a capital investment in the new entity to bolster its “growth and success,” and will initially be the “exclusive” investor into the endeavor.
“There is no question that the LIV model has been positively transformative for golf. We believe there are opportunities for the game to evolve while also maintaining its storied history and tradition,” Public Investment Fund Governor Yasir Al-Rumayyan said in a statement. “This partnership represents the best opportunity to extend and increase the impact of golf for all.”