LIV Golf filed a Chapter 11 bankruptcy plan with a New Jersey court on Tuesday, setting a schedule for a final hearing on January 7 that would start the liquidation of the Saudi-backed league. The filing follows LIV’s September 8 bankruptcy declaration after the Public Investment Fund of Saudi Arabia, its primary financial backer, announced it would stop funding the league after the 2026 season.
The bankruptcy plan outlines an orderly wind down of LIV Golf’s operations. A restructuring deal with BC Partners Credit, which had promised $300 million, failed to attract enough support from players or creditors to continue a version of LIV beyond 2026. The league’s summary of the plan stated, “Debtors have determined that no viable restructuring transaction remains available due to lack of player participation and BC Partners’ termination of the Restructuring Support Agreement.”
According to the filing, the Public Investment Fund invested about $5 billion in equity capital since the league’s inception. LIV Golf operated at a loss throughout its existence and was years away from becoming profitable. Just before declaring bankruptcy, LIV laid off 289 employees and furloughed 22 others, roughly a week before the filing.
The filing also revealed that about a month earlier, LIV paid $15.6 million in retention bonuses to seven executives deemed essential for completing the 2026 season and pursuing restructuring plans.
A hearing is set for November 24 to conditionally approve the disclosure statement, which must provide adequate information to those owed money by LIV. Approval will mark the beginning of the league’s wind-down phase. The period between the November hearing and the January 7 final hearing will determine voting rights among creditors and address any objections to the bankruptcy plan.
Once approved, a wind-down trust will manage payments to creditors, resolve outstanding legal claims, and oversee other financial matters related to LIV’s closure.
Last week, the court approved the separation of Jon Rahm from LIV Golf. The two-time major champion reportedly lost $100 million he was owed from his contract after joining the Saudi-funded league at the end of 2023. Rahm won the Abu Dhabi Aldar Championship on the DP World Tour last week, his first regular European Tour title since 2022 and his first competitive tournament since LIV officially ended.
The fate of other LIV players remains uncertain. Many face bans from the PGA Tour, which has yet to indicate any pathway for their return. Some players hold European Tour membership or may attempt to secure sponsor exemptions, though these are unlikely to include the strongest events on that schedule.
The bankruptcy plan confirms that LIV Golf’s ambitions to disrupt professional golf have reached an end with the league’s financial backers pulling support and restructuring efforts collapsing. The January hearing will determine the final course of the liquidation process.
According to Yahoo Sports.