LIV Golf officially shuts down after $300 million deal collapses

LIV Golf is shutting down after debtors bail and players head for exits.

The bankrupt Saudi Arabia-backed venture, which shook up the professional golf world after launching in 2022, said Thursday that it is shutting down.

An attorney for LIV said in a New Jersey bankruptcy court that the fledgling golf league's debtors have decided against a proposed reorganization and will instead wind down the business.

The announcement came during a 13-minute hearing in bankruptcy court in New Jersey on Thursday.

LIV Golf attorney Matthew Williams of Gibson Dunn told the court: "The debtors are not currently proceeding with the LIV 2.0 plan."

"Instead, the debtors are toggling to a value-maximising wind-down in their business," Williams said.

The league filed for Chapter 11 bankruptcy on September 8, 2026.

Saudi Arabia's Public Investment Fund (PIF), which had bankrolled LIV since its launch, announced earlier this year that it would yank funding for the league after the 2026 season.

The PIF had spent more than $5 billion on LIV Golf since 2022.

LIV Golf thought it had a lifeline in BC Partners Credit, which pledged a $300 million investment to pivot to a more financially sustainable "LIV 2.0."

But several star players refused to commit to the new version of the tour.

Jon Rahm agreed to forfeit all claims against LIV — said to be worth some $100 million — to get out of his contract.

Rahm is now back playing on the European tour, with hopes there will be a path back to the PGA Tour.

Sergio Garcia, Tyrrell Hatton, and Louis Oosthuizen also were not interested in staying with LIV 2.0.

Brooks Koepka, another major golf name that had signed with LIV, opted to return to the PGA Tour.

Even Bryson DeChambeau — arguably the breakaway circuit's biggest name — did not publicly commit to returning, though he had continued to back the tour.

BC Partners Credit released a statement explaining its position.

"BC Partners Credit supported a transaction that aligned the interests of players and investors, offering a credible path toward building a sustainable future for LIV Golf," BC Partners said.

"While there was great support for the league, we are disappointed that mutually acceptable terms could not be reached among the various stakeholders," the statement continued.

LIV Golf itself issued a statement acknowledging the collapse of the deal.

"Despite extensive discussions, the relevant parties were ultimately unable to reach a consensual resolution of certain outstanding terms of the Transaction contemplated by the RSA," LIV Golf said.

"In light of the current circumstances, we believe shifting toward an orderly wind-down is the most responsible path forward for the League at this time," the statement continued.

The court heard that LIV will begin liquidating its remaining assets on Monday.

LIV Golf paid $15.6 million to retain seven of its executives in the months between the PIF pulling funding and the league filing for bankruptcy.

That sum included $6.375 million paid to CEO Scott O'Neil.

Those payments are not unusual for a company trying to emerge from bankruptcy.

But the question now is whether those payments can be voided since LIV is not going forward.

The league suffered two big setbacks before and after filing for bankruptcy.

The Asian Tour, which received financial support from LIV for an International Series, decided in July to renew an alliance with the PGA Tour and the DP World Tour in Europe.