Report: Huge PGA Tour sponsor getting cold feet about renewal

RBC has stated that they will not extend their contract with the PGA Tour until they have confirmation that a deal with LIV Golf’s backers can be reached.

According to a report, RBC has acknowledged that they will wait to renew their sponsorship of PGA Tour events.

According to Golf Channel, RBC is reportedly losing interest due to the unpredictability surrounding men’s professional golf.

Since 2008, RBC has served as the Canadian Open’s title sponsor.

The bank renewed its sponsorship agreement for the Heritage and the National Open through 2024.

Beyond that, though, the future is uncertain.

This is mostly due to the fact that the PGA Tour and LIV Golf’s backers, the Public Investment Fund of Saudi Arabia, have not yet finalized the framework agreement that was agreed upon on June 6, 2023.

The PGA Tour, RBC, and Golf Canada are still having excellent talks, according to Laurence Applebaum, CEO of Golf Canada, who spoke with the publication.

“We are aware that, when it comes to golf, they [RBC] remain our most cooperative partner.

We’ve had an amazing week together, spent a lot of time together with the PGA Tour and RBC, and we know that those conversations will continue in earnest. They’ve been amazing partners.

PGA Tour officials will undoubtedly be concerned about the remarks.

In recent months, the North American circuit has already lost a number of significant sponsors.

Last February, Honda announced its retirement after 42 years. Moreover, Wells Fargo is out.

What is the latest in the PGA Tour-PIF deal?

At first, the framework agreement for June 6, 2023, was referred to as “a merger.”

It was awkwardly worded and then purported to be a “agreement.”

We were informed that the agreement would expire on December 31, 2023.

We anticipated that the PIF would invest at least $1 billion in PGA Tour Enterprises on that day.

PGA Tour officials stated the deal was not dead, just complicated, after the deadline passed.

Strategic Sports Group invested $1.5 billion in the business initiative in January.

Players like Jordan Spieth and Tiger Woods asserted that PIF money was no longer necessary for the Tour.

Following the 2024 Players Championship, Yasir Al-Rumayyan, the chairman of LIV and PIF governor, met with Woods and the player directors of the PGA Tour in March.

It was later said that the Bahamas-based gathering was just a “meet-and-greet.”

A few months later, Jimmy Dunne, one of the framework agreement’s architects, resigned.

No progress was being made, according to Dunne.

Third-ranked player Rory McIlroy also had a pessimistic assessment.

The New York Times claims that there is still hope.

According to a May report, the PIF and the PGA Tour may have switched terms.

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