BC Partners is exploring a $50m bankruptcy loan from Saudi Arabia’s Public Investment Fund (PIF) to take control of LIV Golf, according to the Financial Times. The move would give the private equity firm time to revive the league, though any future version would likely be smaller than the previously proposed 17-tournament format. Beyond golf, BC is motivated by preserving roughly $5bn in net operating losses accumulated by LIV in the US and UK since 2021.
These losses could be used to offset future taxes in an acquisition vehicle, a strategy BC has already tested with its $150m investment in Context Logic. LIV filed for bankruptcy in September after PIF, which owned 98% of the league, withdrew funding. BC’s earlier plan to invest $300m collapsed due to player demands and PIF’s tight deadlines.
PIF may also benefit from a quick exit free of liabilities, potentially contributing more funds to settle trade creditors, who may be owed over $100m. Currently, only $2m has been set aside for unsecured creditors. LIV’s lawyers told a New Jersey bankruptcy court the league would wind down unless circumstances change, though it remains open to value-maximizing alternatives.
Source: PE Insights · Summarized by HeadlinesBriefing