PONTE VEDRA BEACH, Fla. – Nine months after entering into a controversial “framework agreement” with what was previously viewed as the enemy, PGA Tour commissioner Jay Monahan said Tuesday that negotiations with the Private Investment Fund of Saudi Arabia are “accelerating” and that he sees a “positive outcome,” given more time.
Monahan, speaking during a news conference in advance of the Players Championship at TPC Sawgrass, said that he met recently with Yasir Al-Rumayyan, the governor of the PIF and the director of the LIV Golf League and “our negotiations are accelerating as we spend time together. While we have several key issues that we still need to work through, we have a shared vision to quiet the noise and unlock golf's worldwide potential.
“It's going to take time, but I reiterate what I said at the Tour Championship in August. I see a positive outcome for the PGA Tour and the sport as a whole.”
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Monahan, who has been PGA Tour commissioner since 2017, met with the media for the first time formally since that August news conference in Atlanta. And there has been considerable change since that time.
One of the PGA Tour’s top players, Jon Rahm, signed a lucrative deal to play for LIV Golf after repeatedly saying he wasn’t interested. And the Tour entered into an agreement with Strategic Sports Group, a private equity company, to pump nearly $3 billion into the for-profit PGA Tour Enterprises which will see players reap considerable sums in equity.
Related: Monahan Says PGA Tour Had Talks With Anthony Kim
Those negotiations were seen by some as a way to push the PIF out, and player directors Jordan Spieth and Adam Scott suggested earlier this year that their investment was no longer needed.
But there is also the danger in seeing the PIF continue to pick off top PGA Tour players to compete for LIV Golf if there is no deal.
Monahan suggested, however, that the SSG deal enhances the discussions with the PIF.
“As we went through that process, there were a number of potential investors,” Monahan said. “We made the decision on December 7th as a board unanimously to move forward with SSG. It was important for SSG and it was important for the Tour to engage directly with the PIF prior to finalizing any deal, which is why I joined principals from SSG on a trip to Saudi Arabia to meet with Yasir and members of PIF, and that's why we continue to have productive discussions.
“There's a mutual respect there that I think is helpful towards ultimately getting a deal done, and I think it is that level of discussion that has helped accelerate the conversations.”
Monahan said that Saudi trip occurred in January. SSG is a consortium of sports owners along with the Fenway Sports Group that is investing in the new for-profit entity.
How the new for-profit is able to generate the considerable income necessary to repay investors and create equity for players is among the many questions that are still without clarity.
“The more that we can do to increase fandom, to bring our product forward in a way that is consistent with the way fans want to consume product and a better job and the more steps we can take to dimensionalize our great athletes, those are all steps that we can take to grow fandom,” Monahan said. “And when you grow fandom, ultimately that drives your commercial success.”
Monahan admitted that fans are “tired of hearing about conflict, money and who is getting what. They want to watch the world’s best golfers compete in tournaments with history, meaning, and legacies on the line at venues they recognize and love.”
And yet, Monahan said that there are differences to resolve and this will still take time.
When asked about players who compete for LIV Golf coming back to the PGA Tour or competing alongside of PGA Tour players outside of the major championships, he said:
“We've made and continue to make real progress in our negotiations and our discussions with the PIF. I recognize that this is frustrating for all of you, but it really is not in the best interest of the PGA Tour and our membership and for PIF for me to be talking about where we are with specific elements of our discussions.
“I would just stress the fact that we're engaged, we're making progress, but I'm really not at liberty to share any of the details on that front.”
And Monahan acknowledged that not all on the PGA Tour would be in favor of that happening.
“Balancing the interests of a membership of 200-plus players is complicated, and it's challenging,” he said. “I think when you're in a negotiation like this and you're in a time like this, it requires open-mindedness, it requires flexibility, and it requires a long-term view and a long-term vision ... however we end up, I think that we're not going to be able to satisfy everyone, and that goes for both sides. But what we're trying to do is to get to the best possible outcome again for the Tour and for the game, and I do think that that's achievable.”
Last week at the Arnold Palmer Invitational, Webb Simpson, a member of the PGA Tour Policy Board, said he has never engaged with anyone from the PIF and that not making a deal would be “extremely dangerous.”
At least two other board members, Tiger Woods and Patrick Cantlay, have said they’ve had no direct conversations with anyone from the PIF. But Monahan continues to say negotiations continue.
“I do believe that negotiating a deal with PIF is the best outcome. Obviously it has to be the right deal for both sides, like any situation or negotiation,” he said. “The conversations with SSG, for the reasons I just said, I think have enhanced the likelihood of us reaching a successful conclusion.”
Monahan was asked directly if anyone in the organization had asked for him or any in leadership to resign in the aftermath of the surprising June 6 announcement last year. He did not answer directly, suggesting however that there was considerable pushback and feedback.
Monahan, in the aftermath, took a health-related leave of absence but has seen his duties expanded, including a seat on the PGA Tour Policy Board as well as being named CEO of PGA Tour Enterprises.
“Obviously when you look back to last summer I could have handled that better, and I've taken full responsibility and accountability for that,” Monahan said. “That's on me. But we've moved on, and we've made so much progress since that point in time and I have learned from it. I've been humbled by it. I think I've gotten stronger as a leader, and the progress that we have made since that point in time, some of which I just talked about, and includes the SSG's investment in the PGA Tour and the prospects that that brings forward, I couldn't be more excited about.”
