The PGA Tour has distributed the for-profit entity’s $930 million player equity grants based on four segments. The top 36 golfers will divide $750 million amongst themselves. After the SSG confirmed that it would contribute around $3 billion to the PGA Tour Enterprises; the total valuation of the entity stands at $12 billion.
An initial funding of $1.5 billion was done to create a player equity program so that golfers can hold a part of the PGA Tour, and this will serve as a reward for those who declined LIV offers. Thus, in a memo sent to players on Wednesday, PGA Tour commissioner Jay Monahan explained how the $9.3 billion will be distributed amongst past and present golfers based on four segments.
Jay Monahan Declares Four Segments For Equity In The PGA Tour’s For-Profit Entity
The largest share of the money, which is around $750 million, will be distributed among the top 36 golfers. This distribution will be according to their “career performance, last five-year performance and Player Impact Programme results.”
Players such as Tiger Woods and Rory McIlroy with MVP status on the PGA Tour are expected to be paid heavily. Moreover, McIlroy became the top golfer on the 2023 PIP list. After this, the second segment will distribute $75 million among the next 64 golfers based on their performances in the last three years. Added to this, $30 million will be credited to 57 players who “have earned certain fully-exempt PGA Tour status.”
The final segment is for the former players of the game. It’ll divide $75 million among 36 golfers who were “instrumental in building the modern PGA Tour based on career performance.” The tour plans to give out these grants in a March equity program.
A memo says equity grants that will give $100 million from 2025 are based on the last three years’ performances, PIP results, and last year’s performance. This equity venture is a step towards ensuring proper payment to the golfers. Thus, as SSG joins hands with the PGA, the circuit looks towards progress.
