LIV Golf: What’s happening with the PIF’s involvement and its other investments?

The future of the LIV Golf series has been the subject of speculation this week amid reports the Saudi Public Investment Fund (PIF) is set to withdraw its financial backing.

Here, the Press Association takes a closer look at what may be happening with the PIF’s involvement in LIV and its other sports investments.

What is going on?

LIV Golf’s future has been called into question this week, with reports that the PIF is only guaranteeing funding until the end of the season.

The PIF has not issued any public denial of the reports and individuals have privately only pointed to an email from LIV chief executive Scott O’Neil to staff in which he said: “Our season continues exactly as planned, uninterrupted and at full throttle.”

Some reporting around LIV’s future focused on the absence of any mention of sport when the fund unveiled its 2026-2030 strategy on Wednesday. However, the old strategy did not mention sport either and it is understood sport is captured within references to entertainment.

The PIF’s governor Yasir Al-Rumayyan said in an interview with Al Arabiya this week that some deals and investments were being “reviewed, whether due to war (in the Middle East) or for reasons related to economic feasibility”.

He added that the Middle East conflict, sparked by American and Israeli air strikes on Iran, “places greater pressure on the need to reposition certain priorities”.

It is reported that the PIF’s investment in LIV will top six billion US dollars (£4.4bn) by the end of this season, but for all that investment, it has struggled to generate significant revenue.

What about another key investment, Newcastle?

The PIF’s investment in Newcastle is understood to be unaffected by the new strategy unveiled on Wednesday.

PIF’s new strategy announcement set out a new plan for the structuring of its investments into three portfolios – vision, strategic and financial. PIF’s ownership of Newcastle is understood to sit within the fund’s strategic portfolio.

A release issued on Wednesday said investments within that portfolio were considered “key strategic assets”. The release stated: “The Strategic Portfolio will actively manage key strategic assets to maximise financial returns and the economic impact of PIF’s companies, while supporting their efforts to attract capital and become global champions.”

The PIF bought a majority stake in Newcastle in 2021.

Should Newcastle fans be concerned at the sale of PIF-owned club, Al Hilal?

The PIF’s motivation for buying controlling stakes in four top Saudi clubs – Al Hilal, Al Ahli, Al Ittihad and Cristiano Ronaldo’s Al Nassr – in 2023 is understood to be entirely different from its goals and ambitions around Newcastle.

The Pro League clubs were bought to support Saudi government policy in professionalising the clubs’ governance and get them to a position where they could be attractive to other investors and stand on their own two feet.

Al-Rumayyan, who is the chairman of Newcastle, told Al Arabiya: “We are gradually moving toward the privatisation of these (Saudi) clubs. While we may retain certain stakes, we will not remain the majority owner.”