PGA Tour to start receiving $3 billion investment from Fenway Sports’ Strategic Sports Group as soon as next week: Report
As per the reports, the PGA Tour will start receiving a $3 billion investment from Fenway Sports-led Strategic Sports Group next week. Besides Fenway Sports, the SSG comprises several big investors and US sports owners.
Last year, Strategic Sports Group was the third entrant in the framework agreement deal with the Tour and LIV Golf. While the deadline for finalizing the framework agreement was extended until April, it was also announced that the negotiations with SSG were also going in the right direction.
On Friday, January 26, Sportico reported that the total amount raised was nearly $3 billion, which will cover the tour's domestic rights. The official from the PGA Tour didn't confirm the news, while FSG declined to make a comment.
The investment from the SSG will help the PGA Tour have the upper hand in the negotiations with the PIF, which doesn't have a financial problem.
The Strategic Sports Group consortium also includes Cohen Private Ventures, Celtics major shareholder Wyc Grousbeck, Chicago Cubs Chairman Tom Ricketts, and New York Mets owner Steve Cohen. However, it is yet to be disclosed if all of the investors will be part of the deal with the Tour.
The golf fraternity has been waiting for the final result of the framework agreement for more than seven months. Last June, the DP World Tour, PGA Tour, and LIV Golf announced they would come together to form a common entity for the growth of the game. Since then, the Tour has made a lot of policy changes to woo its players, who were disappointed by the secrecy of the deal.
Rory McIlroy quit the PGA Tour Policy Board after being the face of its battle against the PIF-sponsored circuit. Now the Players Directors have increased to six to give equal voice to the players on the Policy Board. Currently, Patrick Cantlay, Charley Hoffman, Peter Malnati, Webb Simpson, Jordan Spieth, and Tiger Woods are the Player directors on the 12-member board.
If the deal happens between the PGA Tour and LIV Golf, players will also have equity and will propose direct ownership in PGA Tour Enterprises
What's next on the PGA Tour?
The PGA Tour is currently in San Diego, California, for the Farmers Insurance Open, whose final round will take place on Saturday, January 27. Next week, the tour will move to Pebble Beach, California, for the AT&T Pebble Beach Pro-Am.
AT&T Pebble Beach Pro-Am is one of the four signature events that will have no cut. Justin Rose is the defending champion at the Pebble Beach Golf Links.