PIF tabled a $1 Billion equalization pool for PGA Tour players who rejected LIV contracts: Report

Saudi Arabia Public Investment Fund (PIF) is reportedly interested in giving a considerable amount to the PGA Tour players who rejected an offer from LIV Golf before the announcement of the framework agreement.

At the time of announcing their framework agreement in June, the PIF indicated a willingness to offer a $1 billion equalization pool for the PGA Tour players (h/t Sports Illustrated). It would only be given to those who declined an offer from LIV before the merger's announcement earlier this year. Moreover, the amount and the deal are yet to be finalized.

Since the inception of the Saudi-backed LIV Golf, dozens of players from different golf series have joined Greg Norman's circuit, including six-time Major champion Phil Mickelson, and Ryder Cup heroes Ian Poulter, Sergio Garcia, and Lee Westwood. However, some top-ranked golfers, who were offered huge money from the circuit, turned down the contracts.

Tiger Woods was reportedly offered $800 million, while reports also cited lucrative offers for Will Zalatoris (around $100 million) and Rory McIlroy ($400 million). However, they stayed loyal to the Tour and reportedly turned down the deal. It is worth mentioning that in June this year, McIlroy denied receiving any offers from LIV Golf.

Nevertheless, in June 2023, Tour Commissioner Jay Monahan dropped a bombshell, announcing an unexpected merger with LIV Golf. In the framework agreement, it was apparently mentioned that the players who rejected a deal with LIV would receive a compensation amount.

However, the potential deal has been investigated by the US government, and the decision is likely to be announced by the end of this month. Amid all this, 2023 Masters winner Jon Rahm has now confirmed his move to LIV Golf.

The Spaniard was also offered a lucrative amount from LIV Golf last year, but he supposedly declined the deal. However, Rahm will now compete on the circuit in 2024 after signing a reported $566.4 million deal, as per the BBC.

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Jay Monahan commented on the potential merger of PGA Tour and LIV Golf

According to SI, the PGA Tour is in a worse negotiation position after their top-ranked golfers parted ways to join LIV Golf. However, they are looking forward to adding more investors, along with the PIF, to strengthen their position in the sports world.

Last month at the New York Times DealBook Summit, Tour Commissioner Jay Monahan shared details of the potential merger and acknowledged that they were in conversation with other investors. He commented that Tour was looking forward to having a meeting with PIF governor Yasir Al-Rumayyan to continue the deal. He said (via Flushing it Golf):

"We’re having conversations with multiple parties. The deadline of our conversations with the PIF is a firm target. I’ll be with Yasir next week as we continue to advance our conversations. And I think it's pretty well known that there's a large number of other interested parties that we're also pushing to think about."

The target date for the potential merger is December 31. But Jon Rahm's headline-grabbing deal with LIV Golf has ignited doubts among fans about the merger.