PGA TOUR Enterprises and PIF Negotiations Progress in NYC
Details of the deal have not been released yet.
Discussions about the prospective deal between PGA TOUR Enterprises and the Public Investment Fund (PIF) of Saudi Arabia have been discussed further after the meeting in New York City. Other participants in the meeting were Enterprises’ Transactions Subcommittee, together with PIF Governor, Yasir Al-Rumayyan, and his team.
The Transactions Subcommittee features three active PGA TOUR world-renowned star players—Rory McIlroy, Tiger Woods, and Adam Scott—and four members of the PGA TOUR Enterprises Board: There are different board members, such as commissioner Jay Monahan, chairman Joe Gorder, John W. Henry of Fenway Sports Group, and former professional golfer Joe Ogilvie. McIlroy, playing in the Memorial Tournament, connected through a video link.
In June 2023, PGA Tour, PIF, and Europe-based DP World agreed on the main commercial cooperation of the golf tours’ entity named PGA Tour Enterprises, which is a for-profit company. Although the agreement expired at the end of 2023, negotiations are ongoing, with many involved acknowledging the substantial work needed to unify the fractured sport.
After the expiration of the agreement, the PGA received a $3 billion investment into PGA Tour Enterprises from US sports team owners, which includes provisions for co-investment from the PIF.
The PGA golf tournament in Saudi Arabia is part of a bigger plan to expand the country's economy beyond relying on oil. This initiative is being driven by the Public Investment Fund (PIF) as part of its strategy within the Vision 2030 framework to boost tourism by hosting international sports events.
Saudi Arabia emerges as the favored candidate to host a forthcoming tournament. The entity in question, SURJ Sports Investment, stands on the cusp of clinching a deal with the ATP Tour.
While the specifics regarding venue and commercial terms remain under negotiation, SURJ would secure the rights to stage an ATP Masters 1000 event.