LIV Golf enters restructuring with more than 500 million dollars of debt
LIV Golf filed for Chapter 11 protection in New Jersey with more than 500 million dollars of debt. The filing was filed months after the end of Saudi Public Investment Fund support and identifies BC Partners as the restructuring's main source of capital. The court process will shape player contracts, creditor payments and the league's attempt to restart with a smaller structure.
Economics & Markets··Morning
The balance sheet in the filing
LIV Golf filed for Chapter 11 protection in New Jersey on Tuesday. AP News reported debt of more than 500 million dollars; the petition listed estimated assets between 100 million and 500 million dollars and liabilities between 500 million and 1 billion dollars. Those broad ranges do not provide a precise company valuation, but they show liabilities extending beyond the top of the reported asset range. The filing came months after Saudi Arabia's Public Investment Fund ended its regular financial support.[1], [2]
The role of BC Partners
The league said it had reached a restructuring support agreement with BC Partners' credit arm. AP News described the firm as the main source of new capital, while Axios reported that the plan seeks to reorganise operations and move toward majority player ownership. The Public Investment Fund agreed to provide 49.6 million dollars of debtor-in-possession financing, subject to court approval. BC Partners' credit arm and possible minority investors are expected to supply exit financing. These are financing arrangements dependent on the court process, not a completed sale.[1], [2]
Players are creditors too
Players make up 14 of the 30 largest listed creditors. Jon Rahm heads the list with an unsecured claim of nearly 7.5 million dollars. That structure means the restructuring extends beyond the league and its financiers: player contracts and claims also sit inside the court process. Chief executive Scott O'Neil said the relaunched league would expand its field from 57 to 75 players and introduce a cut after 54 holes. Implementing that operating plan depends on financing approval and the new arrangement with creditors.[1]
