Impact of U.S. election on PGA Tour and PIF deal

In the United States, the future of men's professional golf hangs in the balance as the 2024 presidential election approaches. Current discussions focus on a possible deal between the PGA Tour and Saudi Arabia’s Public Investment Fund, which could reshape the landscape of professional golf. Observers note that Vice President Kamala Harris and former President Donald Trump would likely have contrasting reactions to such agreements, given their differing approaches to antitrust laws and corporate mergers. Each administration's priorities could significantly impact the process whereby the U.S. Department of Justice reviews the deal for compliance with existing antitrust regulations. The PGA Tour's leadership has made statements that suggest intentions to consolidate power and reduce competition within the sport, which raises concerns among legal experts regarding the deal's viability. Under these circumstances, the Department of Justice would need to assess whether the partnership between the PGA Tour and the Public Investment Fund could create monopolistic conditions. While the proposed transaction is significant, estimating around $1.5 billion, its rejection or acceptance hinges on the administration in power following the presidential election. Legal analysis indicates that, regardless of how the deal is labeled, it must go through a thorough investigation process by the DOJ. Ultimately, the implications of this merger extend beyond the golf world, embodying broader considerations of governance and business practices under different political regimes in the U.S.