“We will keep you apprised of the progress” - PGA Tour Commissioner Jay Monahan issues memo to players, addressing key points
The PGA Tour recently held a Policy Board meeting with the commissioner Jay Monahan, newest member Tiger Woods, and a few other members at the headquarters in Ponte Vedra Beach, Florida.
On Monday, the final Policy Board meeting was held to talk about the ongoing merger agreement framework between the Tour and the Public Investment Fund of Saudi Arabia.
Jay Monahan released a memo of the meeting that addressed the issues raised by the Tour's members. As quoted by Golfweek, the PGA Tour commissioner announced that Joe Gorder would take up the position of Independent Director:
"We're pleased to announce that upon the Committee's recommendation and with full approval from the Policy Board, Joe Gorder, Executive Chairman of Valero Energy Corporation, will fill the fifth Independent Director seat."
Jay Monahan then spoke about Joe Gorder's prior leadership experiences and how he had been a huge support system for the PGA Tour. He mentioned the latter's partnership and support in the Valero Texas Open since 2002 and how the tournament had generated a whopping total of $228 million for charity.
Also, 2023 US Ryder Cup team member Patrick Cantlay was re-appointed to the position of Player Director and will serve from 2024 to 2026. Meanwhile, Monahan further addressed that the progress of the PGA Tour would come under the supervision of Player Directors and a player advisor.
"Progress has been deliberate given the complex nature of the potential agreement, and we will keep you apprised of the progress, with continued input and direction from your Player Directors and player advisor Colin Neville," Jay Monahan said.
Also, Ed Herlihy has been re-assigned to the position of the Policy Board Chairman and Mark Flaherty will also continue with his position on the Board of Directors for another four-year term.
Jay Monahan also acknowledged the fact that the merger agreement between the PGA Tour, the DP World Tour, and the Public Investment Fund will potentially bring numerous new investors.
"At the point we secure outside investment" - Jay Monahan reveals more details about the new profit entity which would be formed by the merger deal
On June 6, the PGA Tour along with the DP World Tour and the PIF announced a merger deal that would eventually unify the game of golf. Over the months, it was decided that the merger deal's framework would have to be finalized by December 31.
In the recent PGA Tour Policy Board meeting, Commissioner Jay Monahan mentioned a few details of the merger framework that would be responsible for the new profit entity, currently being called the PGA Tour Enterprises. As quoted by Golfweek, he said:
"Tour management has designed a program that would align the interests of our members with the commercial business of the Tour via direct equity ownership in PGA Tour Enterprises."
Jay Monahan shared that they were currently planning to secure the investment from outside of the Tour. He emphasized the fact that no other league across the globe offered their players direct partnerships in their businesses.
"At the point we secure outside investment, this would be a unique offering in professional sports, as no other league grants its players/members direct equity ownership in the league's business."
The PGA Tour commissioner assured them that they would work to keep the Tour strong for its members. He ended his memo by stating that the "governance review" was still a priority for the Board.