Suspense with deadline: what are the negotiations between the PGA and the LIV of Niemann and Mito Pereira?

Both organizations are seeking a deal, but they are also covering for each other. The Americans announce new investors; the Arabs with the signing of Jon Rahm, current champion of the Augusta Masters.

The golf world is still waiting for the agreement that will change the sport forever. PGA and LIV reached a peace agreement in June, but six months later there is still no white smoke. Both organizations continue to work to reach a middle point, but the truth is that the negotiations are going through days of great tension. Rahm’s signing by the Arabs was the latest blow to a league that sends messages of superiority over the most traditional circuit in history.

Of course, these days the PGA still has the sporting advantage on its side. The LIV seduces with its millions and its freshness, but two years after its creation, it is still not recognized at the table of the major circuits. Their tournaments do not earn points, their golfers are banned from the PGA and must pay fines to become members of the DP World Tour.

Even so, those in the United States know they have to come to an agreement, because Greg Norman’s inexhaustible league checkbook could end up taking its biggest stars. This is what he did with Dustin Johnson, Cameron Smith, Phil Mickelson, Brooks Koepka and Joaquin Niemann . That’s also how he got Jon Rahm, the final crown jewel, valued at $550 million for five years of service.

Unfortunately for both of them, the situation remains unresolved. Jay Monaham, commissioner of the PGA Tour, made it clear that the self-imposed deadline (December 31) remains a firm objective, but many voices close to the tour are already emphasizing that an agreement will be impossible during the last month of the year.

So far, one of the most accurate reports has come from Sports Illustrated, which stated that the Saudi Arabia Public Investment Fund is ready to inject 3 billion dollars if the circuits can be merged. Two-thirds of that amount would be used to promote the trade deal, while the remaining $1 billion would be paid as compensation to PGA golfers who remained loyal despite LIV’s offers.

The Rahm effect

There is no doubt that the signing of Jon Rahm for LIV was a blow to the PGA, which already knows it will not have one of its most important assets in the 2024 season. This turnaround creates also a precedent in matters of loyalty. This may be the case with the stars, because on several occasions the Spaniard has made clear his intention not to change sides. With phrases such as “I officially declare my allegiance to the PGA” and “I play for the love of golf, tradition and playing against the best players”, he then accepted a check for the third largest contract in the history of sports. .

The surprise was such that once the signing was confirmed, the meeting scheduled for this week between Monahan and Yasir Al-Rumayyan, head of the PIF, was also canceled. Jordan Spieth, one of the stars of the PGA, spoke about this disconcerting scenario. “It’s a good decision on his part. I think we have a better hand, but they know which one is ours “, he commented.

The change in decision of León de Barrika occurs precisely because of the peace signed between the two circuits. There, something broke for Rahm, who made it clear that he felt “betrayed” after rejecting millions and defending an organization that ended up accepting the check for them.

The weight of the former on the world stage is such that it does not seem far-fetched that a door could now be opened for LIV players in the most important events of the year, even if they do not have a points. An option was even mentioned by Joaquín Niemann in an interview with La Tercera. “I think one possibility is that they give a place to the top five or ten from LIV “, detained.

New investor for the PGA

Just days after the championship change, the PGA released a press release announcing a new outside investor for its organization. They didn’t mention that the two situations were related, but it’s not hard to present the company as proof that Americans are still getting attention in the market.

The arrival of economic power is also a message for the LIV, which sits at the negotiating table with millions of others. The agreement was announced via a press release: “The PGA TOUR Policy Council unanimously selected an external investment group with which to continue negotiations as discussions with the PIF progress. The decision to advance negotiations with Strategic Sports Group (SSG) was announced in a memo to TOUR members on Sunday,” they reported.

In the letter it was repeatedly stated that the intention is to reach agreements with the Arabs and the former European Circuit. “We plan to advance our negotiations with the PIF in the coming weeks . Additionally, the DP World Tour will continue to be an important part of the process as we move towards PGA TOUR Enterprises,” they conclude.

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Source: Latercera

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