LIV Golf is putting in place contingency measures that could culminate in a bankruptcy filing in the United States if it fails to obtain new capital, according to people familiar with the situation. League management is preparing for the possibility of collapse once the current season ends in late August.
The league's funding structure has shifted after the Saudi Public Investment Fund - which had invested roughly $5 billion in LIV Golf over a four-year period - withdrew its financial backing. That pullback has prompted LIV Golf to seek alternatives to sustain operations beyond the current season.
To pursue new sources of capital, LIV Golf has retained the law firm Gibson Dunn & Crutcher and the investment bank Ducera Partners. Those firms have been engaged to assist the league in identifying potential investors and to support the preparation of a business plan the league intends to present to prospective backers.
In addition to soliciting new investment, LIV Golf is considering relocating its headquarters to the United States. The league sees a U.S. base as a way to position itself to use Chapter 11 bankruptcy protections if necessary. Those protections are being evaluated in part because they can shield assets from claims by foreign creditors, according to the information provided.
League executives are reportedly planning around the late-August calendar mark when the season concludes, treating that timeframe as a potential inflection point for determining whether emergency funding or formal restructuring will be required.
The steps taken so far - engaging a prominent law firm, hiring an investment bank and drafting a business plan for investors - indicate LIV Golf is actively seeking to avoid insolvency but is preparing for a legal restructuring if new capital is not secured. The relocation discussion and the specific reference to Chapter 11 underscore the league's focus on legal options available under U.S. bankruptcy code.
The picture remains shaped by the withdrawal of the fund that had provided the majority of recent investment to LIV Golf. Beyond those developments, details about potential new investors, the contents of the business plan or a definitive decision on a headquarters move were not provided in the material reviewed.