Liverpool owners FSG $1.5 billion investment questioned as Saudi Arabia deal 'moving forward with pace'
Fenway Sports Group led a consortium to invest up to $3 billion in the PGA Tour.
Leading golfer Rory McIlroy has questioned how a $1.5 billion investment - spearheaded by Liverpool owners Fenway Sports Group (FSG) - will be used.
FSG boast an impressive portfolio that contains the Reds, MLB side the Boston Red Sox and NHL outfit the Pittsburgh Penguins. But last year, the Boston-based firm moved into golf.
With the sport fractured, as the PGA Tour and the Saudi Arabia Public Investment Fund-owned LIV unable to come to terms over a merger, FSG led the consortium Strategic Sports Group (SSG) to inject $1.5 billion into the former. In January 2024, they created a new for-profit PGA Tour Enterprises, a commercial venture which allowed almost 200 PGA Tour members to be equity holders. SSG are also set to provide another $1.5 billion.
But McIlroy wants to know what the funds will go towards. Speaking earlier this month, the Irishman said via the Mirror: "What are we going to invest in? How are we going to get this thing to grow? I've got equity in this company, I want the company to grow. I'm basically like an LP (limited partner) in a fund, so what are we doing?"
“I have no idea. Improving the product, whatever that means. Yeah, I don't know. But also growing the business. Do you invest in more golf courses? Do you invest in different formats of the game? I have no idea.”
Response
PGA Tour commissioner Jay Monaghan replied: "I would say that we spent a lot of time and we're currently in discussions with some opportunities where we will deploy capital. I'm not in a position to share any of those details.
"What I will tell you is structurally, we've put together an investment committee that includes many members of the SSG team, and we're actively looking at deals that are going to make the PGA Tour stronger and deals that are complementary to our business. Suffice to say, I think there will be some news on that front in the coming months.
"[The money has] not been touched tangibly in a big way. We haven't obviously announced any big deals, but that doesn't mean that we're not currently talking about those." But I think they've put an investment committee together and it's their job to come up with things to invest in to try to help this whole thing go forward and grow."
Trump talks
Meanwhile, talks have been ongoing with the Saudis about solving the relationship between the PGA Tour, LIV and the DP World Tour. Bloomberg reported last month that the PIF were closing in on completing a six per cent purchase of PGA Tour Enterprises.
The division brought on by the formation of LIV - which saw Major winners such as Brook Koepka, Phil Mickelson and John Rahm make the switch - is now being handled by Donald Trump after he was re-elected as president of the United States.
Monaghan, legend Tiger Woods and player director Adam Scott reportedly met Trump in the White House earlier this week. It is said that Yasir Al-Rumayyan, governor of the PIF, was also due to be there. FSG principal owner John Henry reportedly met Al-Rumayyan in both New York and Saudi last year to discuss terms.
On the possible Saudi investment in PGA Tour Enterprises, Monaghan said: “Everything is moving forward with pace. When you look at all the parties involved, there’s a general enthusiasm for getting this done.”