Breakaway league LIV Golf to fold after lack of financial support

Breakaway men's league LIV Golf is to fold instead of launching a new version because of a lack of financial support.

At a bankruptcy hearing in New Jersey on Thursday, a lawyer representing the organisation, that was initially Saudi-backed, said it will begin to wind down operations as it enters a liquidation phase - abandoning proposals for a reimagined "LIV 2.0".

The credit investment platform BC Partners Credit had initially pledged a $300m (£223m) investment to move to a more financially sustainable model - an apparent lifeline for the organisation, after it filed for bankruptcy in September.

But an agreement to save the company could not be reached after the withdrawal of Saudi Arabia's Public Investment Fund (PIF) from the first LIV Golf deal worth more than £200m due to an exodus of star players.

LIV Golf, which began in 2022, ‌was forced to apply for bankruptcy, effectively cancelling playing contracts, with the likes of Jon Rahm, Sergio Garcia, Ian Poulter, Tyrrell Hatton, Louis Oosthuizen and Lee Westwood departing.

When it first launched, LIV offered nine-figure signing bonuses to lure top names away from the PGA Tour, before losing Saudi funding in April this year after spending more than $5b.

LIV suffered a number of setbacks this year, including losing its main source of its money when PIF changed its investment strategy and said it would no longer pay for the league at the end of its fifth season.

It also cancelled two events during this season and told its workforce last ​month that it was scaling back ​operations and dismissing employees.

Spanish player, Jon Rahm, had reportedly already agreed to forfeit all claims against LIV Golf - said to be worth some $100m (£74m) - to get out of his contract.

LIV's remaining assets are now set to be sold off, following the New Jersey bankruptcy court hearing.

BC Partners Credit said on Thursday it is "disappointed that mutually acceptable terms" could not be met amongst stakeholders.

A statement from LIV on Thursday read: "LIV Golf Incorporated and its affiliates today announced that it intends to transition to an orderly wind-down of its operations."

The company previously said it would create "an ownership structure aligning players' interests with the league's long-term success".

Scott O'Neil, chief executive of LIV Golf, maintained the tour had delivered on its fundamental goals to build a "global platform designed to bring new, younger, and more diverse fans to the sport".

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Two-time Masters winner, Rory McIlroy, was a vocal critic of the Saudi-led project from the start.

Speaking ahead of this week's Abu Dhabi Aldar Championship, the Masters champion said he hoped men's golf can now have a reset after LIV Golf's attempts to 'destroy' the DP World Tour.

In closing its statement, LIV Golf defended its commitment to "growing the game and creating new opportunities for players, fans, and partners around the world".

Matthew Williams of Gibson Dunn, a lawyer representing the company, said: "The debtors are not currently proceeding with the LIV 2.0 plan. Instead, the debtors are toggling to a value-maximizing wind-down in their business."

(c) Sky News 2026: Breakaway league LIV Golf to fold after lack of financial support