LIV files for bankruptcy protection with $45m owed to players

LIV Golf has filed for bankruptcy protection with at least $45m owed to players, who will now have the option to leave. A Chapter 11 petition was filed in the United States on Tuesday, citing Saudi Arabia's withdrawal of multibillion-dollar funding as a reason for the move. The breakaway league says it has found a new investor in BC Partners, following the decision in April by Saudi Arabia's Public Investment Fund (PIF) to pull its funding. Documents in the petition outline money owed to LIV Golf's creditors with the 30 largest unsecured claims, including two-time major winner Jon Rahm, who tops the list with an unsecured claim of $7.5m. Other top 30 creditors include Bryson DeChambeau, Dustin Johnson, Cameron Smith, and Tyrrell Hatton. The total amount owed to the 14 current and former LIV players in the top 30 creditors is just over $45m. LIV Golf estimates its assets at $100m-$500m and its liabilities at between $500m and $1bn. Despite this, the league still intends to start its new majority player-owned league early next year. The Chapter 11 process allows it to start talking to players about their participation in LIV's future, with no obligation on them to sign on to the new league. Contracts under the previous iteration of LIV Golf will finish due to this court filing, with amounts owed to players and other creditors addressed through the court process. However, it remains unclear when players would then be able to enter discussions with other tours. Jon Rahm expressed uncertainty about the future of LIV Golf, saying 'time will tell'. The new investment from BC Partners provides a glimmer of hope for LIV Golf's survival, but the league's long-term prospects remain uncertain.