LIV Golf Is Shutting Down, Lawyers Confirm in Bankruptcy Hearing

LIV Golf is proceeding with plans to wind down its operations and will not follow through with a “LIV 2.0” of the league.

The league officially announced the move shortly after its lawyers revealed the decision at a brief, 13-minute hearing in its Chapter 11 bankruptcy case in New Jersey on Thursday morning.

LIV said that “despite extensive discussions, the relevant parties were ultimately unable to reach a consensual resolution of certain outstanding terms” of its $300 million rescue deal with BC Partners Credit, and as a result, the deal “has been terminated, and the transaction is not expected to move forward at this time.”

BC Partners pulled out of its nine-figure deal to provide LIV with post-bankruptcy financing on Wednesday, which left the league with no other option beyond heading for liquidation of its assets. The Saudi PIF spent more than $5 billion on LIV since the league launched in 2022, but cut off its funding after the 2026 season. The PIF controlled LIV’s bankruptcy process as the largest creditor. LIV intends to file its Chapter 11 plan and disclosure statement implementing the wind-down by Monday. 

“BC Partners Credit supported a transaction that aligned the interests of players and investors, offering a credible path toward building a sustainable future for LIV Golf,” a spokesperson for the firm said in a statement to Front Office Sports. “While there was great support for the league, we are disappointed that mutually acceptable terms could not be reached among the various stakeholders.”

Gene Davis and Jon Zinman, chairmen of LIV’s independent board of directors, said, “In light of the current circumstances, we believe shifting toward an orderly wind-down is the most responsible path forward for the league at this time.” LIV in its announcement said it “will remain open to, and continue to consider, any value-maximizing alternatives with third parties that may arise” during the wind-down process.

Gibson Dunn partner Matthew Williams, one of LIV’s attorneys, said on Thursday morning’s hearing that the decision by LIV to wind down was “not for lack of a good-faith effort over the past several weeks. The debtors, BC Partners, the PIF, the players, the creditors committee—we all negotiated intensely and in good faith.” But “despite everyone’s best efforts, we just couldn’t get to the level of combined financial and player support necessary for a viable LIV 2.0 within the required timeline,” Williams said.

LIV’s strategic initiatives committee “concluded that a wind down is the most likely way to maximize value for creditors at this time,” Williams added. “This was not an easy conclusion for anyone who believed in what LIV Golf built, but it is the right one for these estates and the circumstances.”

LIV CEO Scott O’Neil said in a statement, “We created memories that I hope will inspire a new generation of fans to follow, play, and fall in love with this great game.” O’Neil also thanked the PIF and BC Partners for their involvement in the process.

The Chapter 11 case will take several more weeks, at least, to be sorted out. The case’s creditors committee will meet on Nov. 20, and another hearing with Jude Michael Kaplan is scheduled for Nov. 24. “I do appreciate the candor and professionalism and overall the energy and effort that went into trying to make LIV 2.0 work as a viable path for this chapter 11 case,” Kaplan said Thursday. “What I [also] appreciate is that there’s still an efficient plan to move forward as far as maximizing the return to creditors through an orderly wind down.”