LIV Golf files for bankruptcy, citing a lack of financial support.

File Photo: LIV Golf’s ambitious 2.0 plan has come to an end; funding from Saudi Arabia ended earlier this year, leading to a chain reaction that ended in bankruptcy. | Photo Credit: AP

A lawyer representing LIV Golf announced the decision to shut down operations in a bankruptcy court hearing Thursday in New Jersey.

“The debtors are not currently proceeding with the LIV 2.0 plan. Instead, the debtors are toggling to a value-maximising wind-down in their business,” said Matthew Williams of Gibson Dunn.

LIV Golf lost Saudi Arabia funding in April after having spent more than $5 billion since 2022, which led to its filing for bankruptcy in September. A few months after the start of the Iran war, PIF changed its investment strategy in April and said it would no longer pay for LIV Golf after the 2026 season.

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John Rahm, Sergio Garcia, Louis Oosthuizen and Tyrrell Hatton said they would no longer stay with LIV, and the league also lost young players like David Puig of Spain and Tom McKibbin of Northern Ireland.

The year began with Brooks Koepka getting out of his LIV deal with one year remaining, and the PGA Tour created a path, with financial penalties, for him to return. Patrick Reed chose not to extend his deal and is now poised to return to the PGA Tour next year through his performance in Europe. Rahm had said on Tuesday he would be willing to pay the same price as Koepka, though it was unlikely that same deal would be offered.

LIV 2.0 was pushing player equity and prize money that was more than half of the $20 million purses for individuals when it began in 2022.