LIV Golf Bankruptcy Filing Reveals Phil Mickelson as Unnamed Player Shareholder

Key points

• LIV Golf filed a 128-page document in the District of New Jersey on September 10, 2026, initiating Chapter 11 proceedings.
• The filing identifies Phil Mickelson as the holder of a 0.23% stake, described only as a 'current player' in the official documents.
• PIF holds 98.48% of common ownership, while former CEO Greg Norman holds 0.23%, and Performance54 Group holds 1.05%.
• LIV Golf is seeking court permission to reject player contracts, including those of Mickelson, Jon Rahm, and Bryson DeChambeau, citing misalignment with the new compensation structure.
• The proposed restructure involves a $300 million investment from BC Partners and aims to make the tour majority-owned by players.
• Mickelson, who joined LIV in 2022 with a reported $200 million guarantee, missed all four major tournaments in 2026 due to a family health matter.

Background

This development follows LIV Golf’s financial collapse, which saw the league burn through approximately $5 billion from PIF and $500 million in prior loans, leaving only about $15 million in cash at the time of filing. In August 2026, critics like Nick Faldo described the tour as a 'mess' amid mounting defections, while Rory McIlroy warned that returning players would face a difficult path back to the PGA Tour. The current bankruptcy filing is part of a broader effort to transition to 'LIV 2.0,' a player-owned model that seeks to replace the previous high-cost, Saudi-funded structure with a more sustainable, equity-based system.

How outlets are covering it

Sportico highlights the specific ownership details, confirming Mickelson’s 0.23% stake and noting that his identity was kept private in the filing due to the matter’s private nature. Axios emphasizes the legal strategy, focusing on LIV’s request to reject player contracts as unsecured creditors and the potential for players to receive only a fraction of their promised compensation. While Sportico notes the uncertainty surrounding Mickelson’s stake, Axios points out that PIF’s equity and debt will be 'canceled and extinguished' in exchange for releases, suggesting that existing player equity may not survive the restructuring. Both outlets agree that the new 'LIV 2.0' model aims to shift ownership to players, but they differ in emphasis: Sportico focuses on the cap table and Mickelson’s personal situation, while Axios focuses on the legal mechanics of contract rejection and the DIP financing conditions imposed by PIF.

Why it matters

The revelation of Mickelson’s stake and the broader bankruptcy filing mark a pivotal moment for LIV Golf, signaling the end of its first incarnation and the beginning of a restructured, player-owned model. The rejection of existing player contracts could significantly impact the financial futures of top golfers, while the shift to a player-owned structure may reshape the competitive landscape of professional golf. The outcome of the Chapter 11 proceedings will determine whether LIV can survive as a viable tour or if it will wind down, with implications for the PGA Tour and the broader golf industry.

What to watch

LIV Golf must obtain court approval for its reorganization plan within 120 days, as required by PIF’s DIP financing conditions. The league is expected to negotiate new, long-term contracts with players as part of 'LIV 2.0,' while unsecured creditors, including players with rejected contracts, may receive a portion of their promised compensation. The future of Mickelson’s stake and the broader player ownership structure will be determined by the court-approved milestones and the success of the reorganization.