Saudi-Backed LIV Golf Files Bankruptcy After Investment Fund Withdraws Billions

Clear Facts

• LIV Golf filed for Chapter 11 bankruptcy protection in New Jersey after Saudi Arabia’s Public Investment Fund withdrew funding in April 2026
• The league owes millions in unpaid compensation to top players including Jon Rahm, Bryson DeChambeau, Dustin Johnson, and Cam Smith
• A proposed restructuring plan called “LIV 2.0” would be funded by London-based private equity firm BC Partners and give players majority ownership

LIV Golf filed for Chapter 11 bankruptcy protection in New Jersey, effectively putting its current business model on hold after five years of operations. The filing follows the early conclusion of its 2026 season in Indianapolis after its primary financial backer withdrew support.

Saudi Arabia’s Public Investment Fund halted funding in April to redirect money toward domestic projects and manage financial pressures from the regional war with Iran. Following the decision, PIF governor Yasir Al-Rumayyan resigned from LIV’s board.

Between 2021 and 2026, LIV spent an estimated $5 billion to $8 billion on its operations. Bankruptcy filings show the league owes millions of dollars in unpaid compensation to top players, including Jon Rahm, Bryson DeChambeau, Dustin Johnson and Cam Smith.

The organization has laid off most of its operational staff, left event contractors waiting for payment and faces a lawsuit from the Premier Golf League alleging breach of confidence and conspiracy. The financial collapse has left vendors and partners scrambling for answers.

PIF provided $50 million to help LIV pay its bills and continue operating during the bankruptcy case. The league’s future depends on a proposed restructuring plan called “LIV 2.0.”

Under the proposal, London-based private equity firm BC Partners, which has financial ties to player agency GSE Worldwide, would fund a 2027 relaunch. The plan would also give the players majority ownership of the league.

LIV CEO Scott O’Neil outlined a new format for the proposed reboot, including 75-player fields, 72-hole tournaments, cuts, Monday qualifiers and a national team structure. The format closely resembles the traditional tour model that LIV originally sought to replace.

Chapter 11 proceedings are expected to void existing player contracts. This development could have significant implications for the players who left the PGA Tour to join LIV on lucrative deals.

The league that entered professional golf with billions of dollars in Saudi backing is now trying to survive bankruptcy, unpaid obligations and an uncertain future. What began as an ambitious effort to disrupt professional golf has ended in financial chaos and broken promises.

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