LIV Golf declared bankruptcy and golfers are the largest unsecured creditors listed in the filing.
Jon Rahm is owed nearly $7.5 million, and Bryson DeChambeau is owed more than $5.7 million.Phil Mickelson predicted he'd be on the winning side with his LIV Golf choice. It's nearly four years after Mickelson said golfers needed to pick a side. How many will stay with the bankrupt entity and how many will return to the PGA?
As for its business structure USA Today reported:
LIV Golf New Jersey LLC and roughly 50 affiliated entities filed for Chapter 11 protection in the U.S. Bankruptcy Court.Creditors may soon be owners under the new LIV operating model:
LIV said Tuesday in a statement it wants to turn player debt into player equity. The tour signed a restructuring support agreements with BC Partners Credit built around what it calls a player-first ownership model, under which the reorganized company would be majority owned by the players themselves.Who knew "pick a side" would refer to holding debt or equity in your own tour? Jon Rahm appears to want neither in the case of LIV.
Multiple existing players have told me they are finished with the league.
Pro golfers picked "scary mother fu_kers" in 2022. Will they pick BC Partners in 2026? I'm not sure going from sovereign wealth fund to private equity underwriter (PEU) will leave a better taste in their mouth.
It's a buyout gone bad. Many U.S. workers know it well.
