Jordan Spieth believes the tour should distance itself from the Saudi Public Investment Fund (PIF) now that the PGA Tour’s new for-profit arm will receive a $3 billion investment from Strategic Sports Group (SSG) ing.
Spieth, a member of the policy committee, feels the partnership with PIF is unnecessary despite the current rift between the tour and LIV Golf, which is funded by PIF.
“I don’t think that’s the case. [an agreement with PIF] I needed it,” Spieth said ahead of this week’s AT&T Pebble Beach Pro-Am.
“At this point, if the PIF is interested in agreeing to terms that its members prefer, and/or whether the economic terms are beyond the SSG…I think discussions will start from there.”
Spieth’s comments Wednesday are interesting considering the PGA Tour announced it will continue negotiations with the PIF. As stated in a memo released to players on Wednesday, the Tour’s contract with SSG allows for co-investment with PIF.
Last June, the tour and the DP World Tour signed a framework agreement with PIF to realize a unified professional match. The idea of unification is still a pipe dream, as the game remains divided.
“We have a strategic partner that allows us to borrow options from other investors and allow the PGA Tour to move forward the way it is without having to do anything,” Spieth added.
“whether [the PIF] Or someone else will decide [later]”
Spieth also acknowledged that PGA Tour members remain divided on the possibility of PIF investment, noting that players feel strongly that they are “on both sides.”
Earlier this week, Rory McIlroy completely changed his tone and said suspended LIV golfers should be able to “return” to the PGA Tour. He also called for a unified global tour, where the best players travel across the world to compete against each other.
“That’s Rory’s perspective,” Spieth said.
“You can name some players who have the same point of view. You can name some men who have a completely opposite point of view. So it’s certainly complicated how the players feel about it. is.”
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Many details need to be ironed out between the Tour and PIF, including a Department of Justice (DOJ) investigation into antitrust violations.
The Permanent Subcommittee on Investigations (PSI), the oldest subcommittee in the U.S. Senate, also subpoenaed PIF members, including PIF President Yasir Al Rumayan, for their business dealings in the United States.
“As I said earlier, we have members who have strong feelings for both sides, so if that happens, [need to] And that would be number 10 on a list of 10,” Spieth added.
“Any government intervention will be a long process… [so] I don’t know if, when or how [an agreement with PIF] It will end. ”
But what happened there was a deal with SSG.
The deal will see PGA Tour members receive stock in a new for-profit entity, PGA Tour Enterprises.
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“What I think is the coolest thing is [the deal with SSG] So the players are now the owners,” Spieth said.
“Not only are they profiting from the tour, but now they own the stock, so they want to promote it themselves. They want to make the product better themselves. It’s not like they didn’t before. But you directly benefit from owning the work. So I think that part is probably the best part of fundraising.”
Approximately 200 PGA Tour members will benefit from the equity. Stocks are distributed based on performance and the player’s tenure on tour.
The deal also allows the PGA Tour to learn from SSG’s investors, who have more than 200 years of experience owning professional sports teams. Their expertise will be helpful as tours seek to monetize their brand and content more effectively. Indeed, SSG will likely end up guiding the PGA Tour when its media rights agreement expires.
Regardless of whether the deal with PIF goes through or not, it will definitely benefit the tour today, tomorrow and in the years to come.
Jack Mirko is a golf staff writer for SB Nation’s Playing Through.Be sure to check it out @_PlayingThrough Cover more golf. You can follow him on Twitter @jack_milko In the same way.
