What Is PGA Tour Transaction Committee & Why Is Rory McIlroy a Part of It?

Rory McIlroy will be a part of the PGA Tour and PIF’s $3 billion merger communications despite being denied the spot on the Policy Board. On Wednesday of the Wells Fargo Championship, the Northern Irishman revealed that he would not be replacing Webb Simpson as one of the Player Directors on the Board.

“There’s a subset of people on the board that were maybe uncomfortable with me coming back on for some reason.”  Rory McIlroy addressed the matter. According to reports, one of the many who were uncomfortable with the Northern Irish man’s return to Board was eight-time PGA Tour winner Patrick Cantalay. However, in light of the creation of the “transaction committee,” the four-time Major winner once again has the opportunity to give his valuable insight into the ongoing PGA Tour-PIF merger

The PGA Tour announces the Transaction Subcommittee

In a recently released statement, the PGA Tour announced the new chairman of the PGA Tour Enterprise. After a unanimous vote, Joe Gorder, the former CEO and executive chairman of Valero Energy Corporation, was given the role of heading the for-profit entity. The PGA Tour also introduced five subcommittees, one of which is the ‘Transaction Subcommittee’. The subcommittee comprises Tiger Woods, Adam Scott, Jay Monahan, former Tour player Joe Ogilvie, Gorder, and John W. Henry of Fenway Sports Group.

The committee’s primary function is to establish communication with the rebel league’s sole investor, the Public Investment Fund of Saudi Arabia, and negotiate the PIF-PGA Tour merger, which had been on the back foot since the delay on December 31st. The report also indicated that the Transaction Subcommittee has already started meetings to speed up the process.

McIlroy also confirmed that the transaction committee has not spared a moment and has jumped to work. He explained that the subcommittee had gone through its first steps and said, “I’ve already had calls with that group. I had a really good hour and a half Zoom with those guys on Sunday. We went through a 150-page doc about the future product model and everything.” 

The four new committees of the PGA Tour Enterprise include the Finance and Audit Committee, Jordan Spieth is one of the members of the said committee; the Strategy Committee; the Nominating and Governance Committee, which will be headed by Patrick Cantlay and will also have Webb Simpson and Adam Scott as members; and the Compensation Committee. The PGA Tour Enterprise’s new model aims to elevate the golfing experience of fans and players and positively contribute to the future of golf. Although it may not have McIlroy at the forefront, the Northern Irishman believes he can still help shape the future.

Was Rory McIlroy compensated after being denied a return to the Policy Board

Even though Rory McIlroy was not accepted back on the Player Directors Board, the 34-year-old expressed that it would not strain any relationship or friendship he has with other directors. Moreover, McIlroy thought that his place at the Transaction Subcommittee was, in a way, the next best thing after the position of a Players Director.

On Thursday, at the Wells Fargo Championship,  McIlroy said, “I’m not on the board, but I’m in some way involved in that transaction committee. I don’t have a vote so I don’t have, I guess, a meaningful say in what happens in the future, but I feel like I can be helpful on that committee, and that was sort of a compromise for not getting a board seat.” 

Additionally, the 25-time PGA Tour winner also weighed in that through his involvement in the PIF and PGA Tour, he would try to bring both sides on the same page as he has a better relationship with the PIF’s spearhead, Yasir Al-Rumayyana, and has been a close confidant of the PGA Tour Commissioner as well.  With the new changes brought at the PGA Tour Enterprise, the PIF-PGA Tour merger may only be a few months away, either from being finalized or denied.