LIV Golf filed for bankruptcy protection after months of speculation about its future, but league officials said the move is intended to facilitate a restructuring and launch a new player-owned version of the tour.
LIV Golf announced on Tuesday, Sept. 8, that it voluntarily entered into a court-supervised restructuring process via a Chapter 11 petition in the United States Bankruptcy Court for the District of New Jersey. LIV’s press release reiterated that its revamped format will be majority-owned by the players. CEO Scott O’Neill also acknowledged a new investor in BC Partners, the private equity firm he previously declined to name publicly after reports tabbed it as the league’s new potential partner.
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LIV Golf lists assets of $100 million to $500 million, and liabilities of $500 million to $1 billion, according to court documents obtained by Golfweek and USA Today.
O’Neil said in a statement in conjunction with the bankruptcy filing this financial maneuver will give LIV Golf “the structure and time to pursue a landmark transaction and begin the next chapter of LIV Golf – one built around the fans, an innovative, player-first ownership model, and a part of the global golf ecosystem.”
“We will not rest until we deliver on LIV Golf’s full potential,” he insisted.
What LIV Golf bankruptcy means for Jon Rahm, Bryson DeChambeau
While LIV Golf described the bankruptcy filing as a necessary step in order to take in new investment partners and restructure the league without the financial backing of Saudi Arabia’s Public Investment Fund, it also creates some possible vulnerabilities. Particularly as it relates to Jon Rahm.
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Rahm’s potential free agency will now be determined by a U.S. bankruptcy court judge.
Though the exact terms of his LIV Golf contract are unknown, Rahm told the BBC on Sept. 8 ahead of the Irish Open that, “I still have a contract with LIV 1.0 that I’m more than willing to fulfill.” Rahm reiterated he’s unsure where he’ll play golf next season.
“There’s just a lot of things in place. There’s a lot of things that could happen,” he said. “It’s one of those things with time, time’s going to tell.”
DeChambeau’s contract with LIV Golf expired after this season and he has been actively involved in crafting LIV Golf’s future with O’Neil and the tour’s leaders. He has reportedly led players-only meetings in recent months.
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The Financial Times reported last week that LIV Golf offered players settlements on their contracts prior to filing for bankruptcy. Both Rahm and DeChambeau could potentially be owed millions if they do not come to new agreements with LIV Golf 2.0.
What’s next for LIV Golf after bankruptcy filing?
LIV Golf has been scrambling for new funding since the Saudi Arabian Public Investment Fund, which has reportedly spent more than $5 billion founding and operating LIV Golf, announced it would pull its money following the 2026 season as part of a strategic shift.
LIV Golf said the PIF has agreed to provide $49.6 million in debtor-in-possession financing as part of a credit agreement within the bankruptcy filing, subject to court approval. BC Partners and other minority investors will provide exit financing once LIV Golf emerges from its bankruptcy proceedings, with the expectation of holding a slimmed-down 2027 season featuring 10 events, instead of 14.
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BC Partners CEO Ted Goldthorpe was in attendance at LIV Golf New York in August, along with U.S. President Donald Trump and Saudi Arabia Public Investment Fund Governor Yasir Al-Rumayyan, when O’Neil initially announced the tour’s new organizational structure. Goldthorpe also spoke with LIV golfers ahead of LIV Golf’s season-ending event in Indianapolis last month, according to reports.
“The people of LIV Golf, led by the players, have continued to show incredible resilience, commitment, and a shared belief in what we are building. Thanks to their tireless work, LIV Golf has created a foundation to entertain and inspire the next generation of global golf fans around the world,” O’Neil said in his statement on Tuesday. “… We are excited about what lies ahead and yet, there is still much to accomplish in the months ahead. We believe deeply in LIV Golf’s future, the opportunity in front of us, and the people who will help us realize it.”
What LIV Golf owes Jon Rahm, Bryson DeChambeau
LIV says it owns between $100 million and $500 million in assets and owes between $500 million and $1 billion, spread across as many as 5,000 creditors.
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The 27 names on the top-30 list with a dollar figure attached are owed a combined $64.2 million. After Rahm, Bryson DeChambeau ($5.77 million), Dustin Johnson ($5.49 million), Cameron Smith ($4.84 million), Adrian Meronk ($4.44 million) and Tyrell Hatton ($3.37 million) round out the top six, all of them owed money under their player contracts with the tour.
LIV doesn’t agree it owes all of that. DeChambeau’s claim is flagged as contingent, meaning LIV says it may not owe that money depending on what happens next. Johnson’s claim is flagged contingent, unliquidated and disputed, which is basically LIV saying it is actively fighting that claim.
Read more on LIV’s creditors here.
LIV Golf’s statement on ‘restructuring process’
LIV Golf’s own announcement after filing for Chapter 11 bankruptcy never actually says the word bankruptcy. Instead, it’s a “court-supervised restructuring process” built around a “recapitalization transaction” and a “player-first ownership model.” O’Neil’s letter to fans dodges it too, calling Tuesday’s Chapter 11 filing “an important step forward” toward the “next phase of LIV Golf.”
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Strip away the branding and here’s what they are actually saying. LIV made a deal with a lender called BC Partners Credit to bring in new money and work out its debts without shutting down. Once that’s done, the players themselves are supposed to own most of the league, and LIV says it’s already talking to players about how that would work.
“This process gives us the structure and time to pursue a landmark transaction and begin the next chapter of LIV Golf , one built around the fans, an innovative, player-first ownership model, and a part of the global golf ecosystem,” O’Neil said in the statement.
Gene Davis, who chairs the board’s special committee overseeing the restructuring, called it “the most responsible path forward for the League and its stakeholders.”
None of it is locked in. The deal still needs court and stakeholder approval, and LIV is aiming to walk out of Chapter 11 and start its new era in early 2027.
This article originally appeared on USA TODAY: What does LIV Golf bankruptcy mean for Jon Rahm, Bryson DeChambeau?
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