PGA Tour commissioner Jay Monahan has written to the Tour's Members to announce the ground-breaking unification of LIV Golf, the PGA Tour and the DP World Tour, while confirming that the announcement would bring an end to all pending litigation between the participating entities.
He also stated that the organisations would work together to find a 'fair and objective' process that would enable players to re-apply for membership with the PGA Tour and DP World Tour.
It comes as earlier this year the PGA Tour had taken wide-reaching steps to ban players who choose to play on any event that is not authorised by the Tour.
Meanwhile, the DP World Tour also won an arbitration hearing in April that gave it precedent to fine members who chose to play in unauthorised events, which ultimately led to the resignations of Lee Westwood, Sergio Garcia and Ian Poulter.
But following today's historic announcement, these players may now be able to play again on both the PGA and DP World Tours.
After a year of controversy has surrounded the sport, Monahan said: "Today is a momentous day for the organization and the game of golf as a whole," before confirming the merger.
The Commissioner wrote: "Through a framework agreement the Public Investment Fund (PIF) is contributing its golf-related commercial businesses and rights, along with significant financial investment, toward minority equity ownership of a new, collectively held, for-profit LLC."
While the full arrangements of the collaboration are still to be confirmed, Monahan told the players that the PGA Tour would "retain an administrative oversight over the Tour and sanctioning events, administration of competition and rules," and also said he would be staying on as Commissioner.
"There is much work to do to get us from a framework agreement to a definitive agreement," he said. "But one thing is obvious: throughout this transformational agreement and with PIF's collaborative investment, the immeasurable strength of the PGA Tour's history, legacy and pro-competitive model not only remains intact, but is super charged for the future.
"Our game our players and our fans will no doubt benefit for years to come."
🚨🚨🚨 Breaking. The letter sent to players just now from Jay. Holy cow. pic.twitter.com/12A4X8nCTXJune 6, 2023
He outlined several key details for the Tour's members, noting in particular that any ongoing litigation between the entities would now cease.
"Notably, today's announcement brings about an end to all pending litigation between the participating entities and prohibits any further recruitment of PGA Tour, DPWorld Tour or LIV Golf members," the commissioner wrote.
"We will conduct a comprehensive evaluation of LIV Golf and determine how best to integrate team golf into the professional game. The 2023 LIV Golf schedule will continue as planned.
"We will work cooperatively to establish a fair and objective process for any players who desire to re-apply for membership with the PGA Tour or the DP World Tour following the completion of the 2023 season, consistent with each tour's policies. This is a complicated endeavour and one that will be guided by established PGA Tour rules and regulations."
In addition, he also confirmed: "PIF will make a financial investment to become a premier corporate sponsor of the PGA Tour (and DP World Tour and other international tours).
"PIF will make an additional investment to the new entity that will allow us to build an even stronger and more robust commercial business together. PIF is committed to significant financial support toward causes that positively impact the game on a global basis."
The letter stated that PIF governor and Newcastle United Football Club chairman Yasir Al-Rumayyan will be joining the PGA Tour Policy board.
Monahan confirmed that both he and Al-Rumayyan would be appointed to the new entity's Executive Committee, along with Ed Herlihy, the PGA Tour's current Policy Board Chairman, while also stating that "The PGA Tour will appoint a majority of the Board and hold a majority voting interest in the combined entity."
A players meeting will be held at 4 pm (ET) on Tuesday at the RBC Canadian Open, with Monahan inviting all recipients of the letter to attend.
