LIV Golf on brink of collapse after McIlroy’s latest attack

Saudi-backed LIV Golf is dead.

A lawyer for the breakaway league told a U.S. Bankruptcy Court judge on Thursday that LIV Golf cannot secure the financial backing or player commitments needed to launch its proposed LIV 2.0 model.

The league will begin winding down its operations immediately.

A new Chapter 11 bankruptcy plan is expected to be filed on Monday.

LIV Golf attorney Matthew Williams made the announcement during a previously scheduled hearing in New Jersey Bankruptcy Court.

“The debtors were ultimately unable to bring the key parties to a fully consensual arrangement that would have supported a financially viable LIV 2.0 league,” Williams said.

This marks the end of a five-year experiment that burned through more than $5 billion of Saudi Arabian money.

Saudi Arabia's Public Investment Fund announced earlier this year that it would pull all funding after the 2026 season.

The league filed for Chapter 11 bankruptcy protection in September.

Since then, LIV Golf had been trying to secure a new financial backer willing to fund a restructured league under the LIV 2.0 banner.

BC Partners Credit had reached a tentative agreement to provide up to $300 million in funding for the relaunch.

That offer was withdrawn after the league failed to convince enough players to commit.

A source familiar with the situation told Axios that more than 30 players had signed onto the restructuring support agreement to participate in LIV 2.0.

BC Partners, however, felt it needed additional players to make the league viable.

Holdouts wanted more cash in lieu of equity.

According to the source, the demand for cash over equity was driven by agents whose fees are only tied to cash earnings.

Saudi PIF did not want the deadline to extend indefinitely.

The restructuring agreement's deadline arrived last week and was briefly extended before collapsing.

A spokesperson for BC Partners issued a statement on the failed deal.

“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,” the spokesperson said.

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

“We commend LIV Golf's management for their tireless efforts and thank the players who supported the future of LIV and engaged constructively throughout.”

“We wish them every success as they continue their careers.”

LIV Golf CEO Scott O'Neill also released a statement.

“Building a global platform designed to bring new, younger, and more diverse fans to the sport of golf has been the round of a lifetime for all of us,” O'Neill said.

“LIV Golf was fun, demanding, inspiring, at times challenging — but always rewarding.”

“We thank our partners at the PIF for their collaboration and support, and BC Partners Credit for its engagement throughout this process.”

“We are also deeply grateful to our employees, board, advisors, and fans around the world, whose dedication, resilience, and belief made this remarkable journey possible.”

Around half of BC's investment was to come from co-investors.

It is unclear whether those co-investors would have moved forward with the existing player roster.

Now the question is moot.

The collapse follows a series of major player departures.

Jon Rahm, Sergio Garcia and Tyrrell Hatton have reportedly walked away from the league.

Patrick Reed and Brooks Koepka had already left after their contracts expired.

Koepka defected from LIV Golf ahead of the 2026 season.

He accepted a one-time offer from the PGA Tour to return under penalty.

His deal included a $5 million charitable donation, ineligibility for the Player Equity Program for five years, and no FedEx Cup payouts in his first year back.

The PGA Tour called that deal "not precedent-setting."

Jon Rahm and Bryson DeChambeau turned down the opportunity to leave LIV Golf alongside Koepka.

The PGA Tour has made clear that the same Returning Member Program will not be available to them.

Other notable players whose futures are now uncertain include Tyrrell Hatton, Joaquin Niemann and Tom McKibbin.

LIV Golf launched in 2022 as a Saudi-backed rival to the PGA Tour.

The league promised massive purses and guaranteed money to lure the biggest names in professional golf.

It succeeded in poaching several top players but never achieved the financial stability or mainstream credibility it sought.

The league spent more than $5 billion attempting to establish itself as a major competitor.

Television ratings remained low.

Sponsorships were difficult to secure.

Criticism of Saudi Arabia's human rights record, including its role in the murder of journalist Jamal Khashoggi, dogged the league from its inception.

Rory McIlroy, one of the PGA Tour's most vocal defenders, had repeatedly criticized LIV Golf.