LIV Golf to make final decision on relaunch within weeks after DP World Tour ultimatum
Want to bookmark your favourite articles and stories to read or reference later? Start your Independent Membership today.
Already a member?
Log in
A final determination on whether LIV Golf will cease operations or proceed with a proposed 2.0 structure will be made by the end of the month, a US federal bankruptcy court judge was told on Wednesday by an attorney for the circuit.
During the proceedings, counsel raised serious concerns regarding an ultimatum issued this week by DP World Tour CEO Guy Kinnings to players considering a role in LIV 2.0.
Kinnings indicated that golfers cannot participate in both LIV 2.0 and the European circuit next season and must pick one, as the DP World Tour will no longer allow certain players to compete on a limited basis.
“We’re continuing to monitor this situation very closely and we’re quite concerned by it frankly,” attorney Rob Fitzgerald told the court. “We’re reserving all rights and remedies in respect to these statements that are made.
“Frankly, the timing in particular strikes us as a clear attempt to interfere with our process with our players and potentially our reorganization writ large.
“It also raises a lot of the same anti-competitive concerns that LIV has expressed previously regarding the way competing leagues have sought to box out and punish market participants, namely these players, from participating in LIV and really only LIV.”
Judge Michael Kaplan acknowledged that Kinnings’ comments raised concerns and requested to be kept updated on the situation.
When contacted by Reuters about Fitzgerald’s statements, the DP World Tour said it had no further comment beyond Kinnings’ statement on Monday.
“Players need to make a choice,” Kinnings said in the statement. “As we have said for many years, we have rules and regulations which are there to protect our Tour and which our members must all abide by. Players who are not willing to comply with our rules and regulations should not be seeking to join our Tour.”
The hearing followed news last week that an attorney for former world number one Jon Rahm informed the court his client independently reviewed the proposed terms of LIV 2.0 and decided to quit LIV Golf, depriving the circuit of a major figure.
Kaplan also approved an amended restructuring support agreement between LIV Golf and BC Partners, allowing the circuit to rehire staff and prepare plans for its next iteration.
BC Partners retains the decision over how many players constitute a league and who must be included.
Kaplan approved the amended deal in which BC Partners will provide up to $300 million in financing to LIV Golf, including an initial $4 million.
“This is an important first step in order to really identify viable paths for the debtor, either through continuing operations or a wind-down,” Kaplan said.
