The PGA Tour has confirmed details of it planned player equity distribution model following a US$3 billion investment from the Strategic Sports Group (SSG) consortium.
Confirmed:
- 36 golfers in top category will share US$750 million based on ‘career performance, last five-year performance and player impact program results’
- Second group of 64 players to split US$75 million of equity based on their performances over the last three years
- Third faction of 57 golfers to have access to US$30 million if they have earned ‘certain fully-exempt PGA Tour status categories’
- Final grouping of 36 players to share US$75 million as they were ‘instrumental in building the modern PGA Tour, based on career performance’
- Equity distribution model accounts for US$930 million of the SSG’s initial US$1.5 billion investment
Context:
According to a memo first reported by Golf.com, players can only earn from one category each, with PGA Tour commissioner Jay Monahan detailing that initial grants would be paid out over time.
The player impact program detailed in the first group began three years ago and rewards those on the tour with the ‘largest impact on the PGA Tour business’. It ranks players based on a criteria including Nielsen brand exposure, Google search data, media mentions and fan engagement, with Rory McIlroy topping last year’s standings and winning US$15 million.
Coming next:
Monahan stated that he hoped legal and regulatory matters would be concluded next month, paving the way for equity payments to be made to players afterwards.
The PGA Tour remains in negotiations with Saudi Arabia’s Public Investment Fund (PIF) over a separate investment.
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