The PGA Tour has narrowed its negotiations to an investment group led by Fenway Sports Group as the circuit moves closer to a for-profit entity.
The Tour policy board sent a memo to the membership Sunday afternoon outlining a plan to “further negotiate with Strategic Sports Group (SSG), a consortium of U.S.-based professional sports team investors led by Fenway Sports Group.”
Included in the list of a dozen investors with SSG was Arthur Blank, the owner of the Atlanta Falcons and co-founder of The Home Depot, and John Henry, the principal owner of Liverpool Football Club and the Boston Red Sox.
The Tour had narrowed the list of potential private equity partners to three – Fenway Sports Group; Acorn Growth Cos.; and Liberty Media Corp., the owner of F1 – and following a policy board meeting Saturday, Fenway Sports emerged as the winner.
“We also anticipate advancing our negotiations with [Saudi Arabia’s Public Investment Fund] in the weeks to come,” the memo read. “Further, the DP World Tour will continue to be an important part of the process as we build toward PGA Tour Enterprises [the name given to the for-profit entity that will include the Tour, European circuit and LIV Golf].”
Tour commissioner Jay Monahan is scheduled to meet with the governor of PIF, Yasir Al-Rumayyan, next week. The framework agreement the circuit signed with PIF in June calls for a Dec. 31 deadline for the negotiations and the commissioner said earlier this month that is a “firm target.”
The Tour was rocked last week by news that Jon Rahm, the world’s third-ranked player and reigning Masters champion, had joined LIV Golf. Many viewed the move as a leverage play by PIF and according to various sources, the negotiations heated up following Rahm’s move to the Saudi-backed league.
“We are very confident in an eventual, positive outcome for all players and the PGA Tour as a whole,” the memo to Tour players read.
Strategic Sports Group, per the PGA Tour:
- Marc Attanasio
- Arthur Blank
- Gerry Cardinale
- Cohen Private Ventures
- Fenway Sports Group
- Mike Gordon
- Wyc Grousbeck
- John Henry
- HighPost Capital
- Marc Lasry
- Tom Ricketts
- Tom Werner