June 23, 2026 • 32 mins
LIV Golf is known for doing it big: big player contracts, big worldwide events and big prize purses (an average of $460 million annually). It has also received big funding from one particular source. As of February 2026, Saudi Arabia’s Public Investment Fund (PIF) has pumped $5.3 billion into LIV. But this past April, the PIF announced that it would halt its funding of the league at the end of this year. The PIF’s exit leaves one big question mark hanging over the league: Can LIV Golf survive?
In this episode of The Deal, LIV Golf CEO Scott O’Neil joins Alex and Jason to address the skeptics. He tells us where LIV is cutting costs and how it is maintaining relationships with its big name golfers. O’Neil also explains why he is confident LIV will survive and how it will look different post-PIF. He also shares his pitch to investors and spells out the types of investors who are already interested in LIV 2.0.
See omnystudio.com/listener for privacy information.
Listen
Watch
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:02):
Bloomberg Audio Studios, Podcasts, Radio News.
Speaker 2 (00:12):
Welcome back to the DAL.
Speaker 3 (00:13):
I'm Jason Kelly alongside Alex Rodriguez today on the show.
Scott O'Neil, Alex, you know, he's the CEO of Live Golf.
This is a guy you and I have both known
over the past few years, gotten to know him pretty well,
and I've certainly watched.
Speaker 2 (00:28):
His career very closely.
Speaker 3 (00:30):
There are very few more influential and candidly successful executives
in sports. But man, what a challenge he has on
his hands now.
Speaker 4 (00:39):
Yeah, he sure does. And Scott O'Neill is someone I've
gotten to know a little bit, and like you said,
he's as well regarded sports executive as.
Speaker 1 (00:46):
There is out there.
Speaker 4 (00:47):
And Mark Lourie, my partner and I when we took
a run at Metz, we got a great time to
get to know him for the CEO job of at
Potential Opportunity. We talked to him again with the Wolves.
But as far as enthusiasm, energy, grit, if anybody can
pull us off, I think Scout o'neio is one of them.
Speaker 3 (01:08):
I mean, but to pull it off is going to
require a series of miracles. I think, you know, we're
talking about live Golf, which you know was heavily heavily funded,
created by the Public Investment Fund of the Kingdom of
Saudi Arabia, and they looked very committed to it until
(01:28):
they were not. There was a strategic shift at the
government level where they basically pulled the funding after this year.
And you know, Scott O'Neill went from a job that
was much heralded, you know, bringing in a very well
seasoned and well regarded executive as we've been talking about,
and this is now he's got to save this thing, like,
(01:50):
he has to figure out a way to keep it
in business. He is out talking to investors all day
every day. The business is continuing to run. They have
some very notable golfers, Bryson de Shamba probably being the
best known. John Rahm obviously another big name global golfer.
He's got to hang on to them. But he's got
to pay for this thing. It's just it's a huge,
(02:12):
huge challenge. So I'm so excited to hear what he
has to say, especially because we know him to be
a really thoughtful and smart guy.
Speaker 1 (02:20):
Yeah.
Speaker 4 (02:21):
Look, they were flushed with cash, with massive investments in
deep pockets and now you go from an artificial essentially
league to a real league that has to make a
profit and has to cut expenses, and he has to
clean things up. And you know, I think his private
equity background with Blackstone will help his experience working with
David Stern and Adam Silver. So he has an incredible
(02:42):
amount of experience. But like you said, this is the
toughest headwind he's ever going to face and has ever faced.
Speaker 2 (02:50):
Yeah.
Speaker 3 (02:50):
Absolutely, all right, Well, we're really excited to get into
it with Scott O'Neill. All right, welcome back to the
d L. I'm Jason Kelly alongside Alex Rodriguez. Really excited
to have with us an old friend of both of
(03:11):
ours and someone who is in the thick of it
right now, to say the least, Scott O'Neil, the CEO
of Live Golf. Scott, Really really good to see you.
A lot going on in the world of sports, and
maybe nothing bigger, more interesting than what you're doing. And
that's coming from two guys who just witnessed the next
(03:32):
when the when the NBA Finals.
Speaker 2 (03:34):
How are you doing?
Speaker 5 (03:36):
You know, I'm pretty happy, you know, as I say
to those who who will listen, I feel like I
won life lottery, you know, I really do. I mean,
I I've had I've had the chance to work for
these amazing brands, Massive Square Garden, NBA, or David Stern
and Adam Silver and the Philadelphia Eagles when Jeff Laurie
bought the team for one hundred and eighty eight million
(03:56):
dollars and people said he was crazy and that was
worth eight billion, you know. And then to work for
Josh Harris and David Blitzer and you know, have a
chance to work with them on building HBSc to what
it is now and then now to you know.
Speaker 1 (04:11):
To take on live golf.
Speaker 5 (04:12):
And by the way, that's in the throes of having
four amazing daughters, an incredible wife and a happy life,
and so the hard stuff is really good in my life,
you know. And so and that's how this is felt like.
We have a world class management team. We have crazy
momentum in this business. I mean, you have we my
first year, I mean I'm only eighteen months in, so
you know, in the first year in twenty five, we
(04:33):
doubled revenue. The twenty six the half of the first
half of this think you were up one hundred other
one hundred million, Like the momentum is like this on
three percent expense growth. And then the world changes, and
so you have a couple choices or opportunities when things
that are out of your control, you know, change in
a different way, a different direction, or out of your favor.
And and I'm, you know, fortunately, whether it's genes or
(04:56):
just surrounding myself with extraordinary people, you know, we kind
of dug in and said, okay, like, what's next. How
are we going to do this the right way? What
does it look like? And so the first thing we
did is got together as a group and we cut
a lot of money out of this budget for themand
of this year thinking thinking those of us said that
are a bit more long in the tooth, like let's
extend this runway as long as we can.
Speaker 1 (05:17):
It's first thing we did.
Speaker 5 (05:18):
And then the second thing we did the next weekend
was okay, what is the plan of the future and
how do we reshape and reimagine what this like? And
the third thing you can imagine is like, we have
very strong relationships with the I have very strong relationships
with these players, and so we went to them and said,
how can we build a plan and a program together
(05:39):
with you, for you, through you, that makes you the
majority shareholders in this league, resets the economics and reimagines
what golf should or could be with a real return.
And so it's not that some things didn't happen as
we expected.
Speaker 1 (05:54):
Of course, you know.
Speaker 5 (05:55):
And it's not that at times I felt like the
rug was pulled six months or six years early.
Speaker 1 (06:01):
And that's okay. And I will tell you, like right now,
unlocked in like I feel focused. We're out meeting investors.
Speaker 5 (06:10):
I'm out here at the US Open at Shinnacock, and
you know, the you know, just about every privatect we've
got in the world seems to be out here. So
it's uh, you know, it's in the Hamptons in New York.
It's almost too good to be true in terms of
putting all the fish in one barrel. So that's been
been fun out here a few days. And I'm out
(06:31):
here for a couple more and just make it sure
I'm connected with old friends and seeing what's of interest.
Speaker 4 (06:36):
So Scott, I mean, I think with your experience that
you just mentioned, I can't think of anyone who's better
positioned and has better experiences dealing from the msgs to
Josh's to some of the best people around you mentioned
David Stern and Adam Silver. I guess my question. And
as a leader, no matter what happens, all eyes are
(06:58):
on you when they start, middle of them and at
the end. And you're a great leader. But take us
in some of the conversations, because I've been on the
side of the players and the owners.
Speaker 1 (07:08):
What are those.
Speaker 4 (07:08):
Conversations from players to you and what are some of
the things you're telling them? And at the same time,
by the way, you also have to raise capital, so
you have a lot going on.
Speaker 5 (07:17):
Yeah, well, nobody knows the all eyes on for either
of you too, all eyes eyes on you. Nobody knows
that better than two of you. And so some people
are meant for this moment. And I don't know if
I'm meant for this moment, but I can tell you
is like I'm excited about the moment. It's what's been
reported on coming to Live is they all got huge payments.
Speaker 1 (07:39):
They all didn't get huge payments.
Speaker 5 (07:41):
A lot of guys got really big payments, you know,
And what we were acquiring was their rights. So we
were buying their nil rights and we're paying upfront for
them in many cases, and those guys hopefully could or
should justify those payments by if their agent was out
selling them, they would either get more than that, and
you know, in that case we got a better deal
(08:02):
or less than that, and that case we may have
overpaid or read on the money.
Speaker 1 (08:06):
But generally that's what we're acquiring. Is there nil rights.
Speaker 5 (08:11):
And so when we talk to the players, one thing
we ask is you know, they say is they're happy.
When I talk to their wives, when I talk to
their caddies. The players love what they do. And some
of that's around team golf. You know, I had an
investor meeting with a guy. He's like a traditional golf fan.
He says to me, I don't get it. I don't
get this team golf. I said, do you get the
(08:31):
Roder Cup, to get that, to get the Olympics, Yeah, yeah,
I get that. Do you get college golf?
Speaker 1 (08:37):
Yeah? I get that.
Speaker 5 (08:37):
I said, Okay, how about the World Cup? You're watching
the World Cup at all?
Speaker 1 (08:41):
Yeah? I said. Look, our teams are very much geographically based.
We have a.
Speaker 5 (08:47):
Ripper Is, an Australian CAMPSFIS team, an Australian team, Louis Ustaisen,
it's a South Africa team, ben On, it's a Korean team, Ian.
Speaker 1 (08:54):
Poulter, Lee Westwood, it's a UK team.
Speaker 5 (08:58):
I said, so we're wrapping these teams around these countries
so when we go there's something to identify with. And
I can tell you in Australia like it was great
Anthony Kim. I don't know if you've how closely you
followed golf, but Anthony Kim is storming down eighteen. He's
got John Ram and Bryce and Dschambou two of the
greatest players on the planet in his group, and he
is freaking storming like six seven birdies and on the
(09:18):
background and I'm looking around at these people like going
crazy and cheering and getting emotional, and they all have
Ripper hats on and Ripper T shirts and Ripper hoodies,
and I was like, okay, this is working. And by
the way, we set the all time of tennis record
for a golf event in Australia. We go to South
Africa two weeks later and we have a South Africa
team with four South Africans.
Speaker 1 (09:39):
They're on the first t for the first two days
and their.
Speaker 5 (09:42):
Families there and they literally the golfers are on the
first tea and very much like Ryder Cup. Like our
first tea, it's surrounded by people and it shoots all
the way down down one again, largest attended golf event
in the history of South Africa as well, over one
hundred thousand people.
Speaker 3 (09:57):
So as you're talking to investors, you know, I mean,
I talked to investors all the time. Alex does too.
I'll just I'll keep it a bean. They're very skeptical
about this, you know, I mean, and I don't know.
Speaker 1 (10:09):
If it's what's probably skeptical about.
Speaker 3 (10:11):
I think they're skeptical about the sustainability of the business model,
that you'll be able to hang on to the golfers
and that you can cut the costs enough that this
is a business that will be essentially investible. So how
do you answer those questions in terms of really just
keeping it going for long enough to prove out what
(10:36):
you know, what you believe to be true.
Speaker 5 (10:39):
Yeah, all good, All tackled. And if you have real
investors that you're talking to, send them my way. I'll
show them the business plan. It's pretty robust and well
I won't share the figure publicly.
Speaker 1 (10:50):
I will tell you.
Speaker 5 (10:52):
The amount of money we cut off this budget would
make the hair in the back of your next stand
up for next year. So I have no interest in
a folly. I have no interest in running a business
for the sake of running a business. I'm interested in
growing value. I'm interested in discipline and a strategic approach
to how we provide a return and and and part
(11:13):
of that is getting to a cash flow positive business,
which we have every intention of doing, but it will
take three years. We could do it quicker. Just so
you know, we could do it quicker. I don't want
to lose some of what makes live golf really special.
And we can talk about what's happening in the golf world,
which makes this more interesting. So from from a cutting
(11:34):
the expense side, I mean this it's the easiest job
I've ever done in my life, Okay, and that that
has not been a problem. And part of that is
having a wonderful team to work with, and the other
part is necessity. And then look this, this business was
built for various reasons and and I don't think any
of us should apologize for it. I mean, the reality
(11:56):
is for a country, for a sovereign wealth fund to
have this sort of platform when wherever I have gone
in the world, I've been standing next to world leaders.
I've been standing next to fifty sixty of the chairmen
and CEOs of the biggest companies in the country. And
this is a commercial to do business and access beyond
(12:16):
golf is the best business development tool in the history
of the world. And so I don't apologize for what
we built or what was built before I got here,
nor am I like defending it. All I'm saying is
going forward. The world has to change, and it has,
and we'll get to a business and sustainable business as
far as the players go. Like, they built this plan
(12:36):
with me, and so this isn't like me standing in
front of a room saying and another thing, We're gonna
build this.
Speaker 1 (12:43):
No, this is like this is this is different.
Speaker 5 (12:46):
I mean this is like heavy on committee, heavy on engagement.
I'm not even sure if I should tell this story,
but I'm going through for sport. It was an eight
am my time at six am Bryce's time, and he
won did the bankers on the phone because he wanted
to walk through sg and A he thought it.
Speaker 1 (13:04):
Was still too high. That's Bryson D. Chambeau.
Speaker 5 (13:07):
My friends that's one of the best golfers on the planet,
and he's going through spreadsheets with me. And finally, my
wife was built doing this like youth program for kids
at our church, and I was like, hey, man, I've
got like I think I had an hour and a
half book. I was like, I've got about thirty more minutes.
You know, I've got to choose one here, and I'm
choosing her, So let's get through these problems. But that's
(13:27):
the level engagement Carlos Artists, who's competing in the US
Open as well, who I find is one of the
smartest businessmen I've met as a professional athlete, heck of
a golfer as well, And look at like these Graham
McDowell was texting right before he came on today about Hey,
have you called so and so?
Speaker 1 (13:46):
Call him?
Speaker 5 (13:47):
You know, like these guys are my partners, Like they're
my business partners, and we intend them to make them
major equity shareholders. So they have a lot of incentive
to manage costs, they have a lot of incentive to
drive revenue and certainly find now what what the what
the other golf leagues, what the golf ecosystem has done
to help us. I'll be forever grateful like they they have.
(14:09):
They have not rolled out the red carpet, and I
appreciate that they have to.
Speaker 2 (14:16):
Bring them back.
Speaker 5 (14:17):
Okay, and they have eliminated what's the plan, sixty five
percent of their events taken away, the sponsor platform, taken
away from television, and plummeting prize purses.
Speaker 1 (14:29):
Thank you very much.
Speaker 5 (14:30):
You know, the European Tour becomes track three of the
track one, Track two, track three, Thank you very much.
And so we'll sit right between track one and track two.
And if you want to live in Dubai or live
in Australia or South Africa, or Europe or the UK,
and you want your kids to go to school or
you went to school, you want to raise them properly
where you grew up. And you're not interested in living
(14:52):
in Jupiter, and there's nothing wrong. I love Jupiter and
there's nothing wrong with it. But that's that might not
be what your wife has planned for your children. And
the question is do you want to play around the
world or do you want to live and stay entirely
in the countone of us?
Speaker 1 (15:06):
And that's not for every player. For Bryson D.
Speaker 5 (15:08):
Chambeau, and I've never seen anything like this from a
professional anthlete. He wants to grow the game of golf
around the world in the purest, most beautiful sense. And
when I go to the majors and sit down, I'm
always asking kids like who's your favorite player. There'sn't a
kid under thirteen that hasn't told me Bryson d Chambeau. Yeah,
And so I think. And then we've got like some
core players, you know who Look what will happen with
(15:30):
the European Tour and they're decreasing their prize pools in
the core core season. You know, we're going to be
a place to play. If you want to play in
a big time event around the world, you're coming to
live golf. The reality is is the golf industry needs
to get healthier.
Speaker 4 (15:58):
Scott, speaking of getting healthier, help us understand how you're
thinking about this round of investment. As an example, if
investor a comes in, is he investing into a team
or is he investing into the league or particular player?
Speaker 1 (16:11):
How does that work?
Speaker 5 (16:13):
That is probably the best attribute we have and we're
selling so of course, I mean we have a term
sheheet on a team now, so you can if you
wanted to buy a team, you can buy a team.
And I'm hoping that those investors come from the respective
markets where those teams hail, Like I would like an
Australian to buy into the Rector, for example. But when
(16:34):
you come into this league, you're going to own sixty
to seventy percent of all.
Speaker 1 (16:39):
The teams in the league.
Speaker 5 (16:40):
And if you look at what and I mentioned Jeff
Lourie from one hundred and eighty eight to eight billion.
We talked about the Timberwolves recently, how you guys have
done okay for yourselves as well, like overnight a dole
hack of a double Yeah, no, God bless America. And
then you know, you look at we mentioned the IPL
franchises and how they're they're rolling, and you know, Adam Silver,
(17:01):
you know the you know, the best commissioner I've ever
seen is selling expansion franchises between seven and nine billion dollars.
And so when you think about what's going to happen
these franchise.
Speaker 1 (17:11):
Values, I feel pretty good about.
Speaker 5 (17:13):
The prospects of an investor saying, yeah, I'd like to
own a team next to John Rahm. Sure, yeah. Phil
Nchoson seems like a really good. How about Bryson d Chambeau,
What about Campsmith? So I like that prospect, and we
have thirteen of them, we can go to fifteen. And
so are they worth one hundred million? Sure as heck hope?
So are they worth two hundred million? Sure as heck hope?
So can they be worth five hundred million someday? If
(17:36):
they're worth any of those numbers I mentioned, this isn't
the easiest return of an investment you'll ever have in
your life. Now, I wish you know, if it were
just that, I would take the bat meet personally and half.
Speaker 1 (17:47):
But I've watched.
Speaker 5 (17:49):
I've also studied what happened in Moto GP and the
Formula one two interesting comps like we don't really compare
ourselves with and around other golf leagues. It's just a
different property. But Moto GP he sold the Liberty Media
for four point eight billion dollars and Formula one over
eight billion. And so what did Liberty see? Well, they
saw a business that could grow in sponsorship value. They
(18:12):
saw a business that could grow in premiums seating. They
saw a business that has broadcasts tied with sponsorship with
huge opportunity to increases they saw huge ticketing business, and
they saw.
Speaker 1 (18:23):
Global you're entree to the world to do business.
Speaker 5 (18:27):
And so from our rights, we think there's also a
second bite of the apple on the league level. So
from an investment standpoint, it's really compelling.
Speaker 2 (18:35):
And so so Scott.
Speaker 3 (18:37):
You know, just going back to sort of the the
existing golf leagues, you know that the PGA has made
some changes. You know, you mentioned the track one track too.
Every conversation at Shinnecock that's not about the golf, that's
not about Live, is about this track one track too,
signature events, all these different things. You know, there was
(18:58):
a time where it looked like there was going to
be some sort of business arrangement between Live and the PGA.
Is that still possible or what is the relationship going forward?
Speaker 1 (19:09):
Yeah? I think our focus is on this transaction.
Speaker 5 (19:15):
Okay, that's where our focus is one hundred percent of
the time and and and we don't let two percent creep.
At this point, we have a we have a ticking
clock and we have to lock in and focus. If
if I had a crystal ball, I'd definitely be in
a different business for sure. But I will say we
have strong relationships with Strategic Sports Group. I've I've known
(19:37):
them for years. Sam Kennedy's has been been a dear
friend for years, and I've had the chance to spend
some time with John Henry and Brian Rolapp and I
went to school together and we've known each other for years.
Speaker 1 (19:46):
Consider him a friend as well.
Speaker 2 (19:48):
Brian role at the Commissioner of the PGA.
Speaker 3 (19:50):
Just for people who don't follow it as closely, Commissioner
of the PGA, Brian Rolapp go ahead.
Speaker 5 (19:55):
Yeah, And so I mean our focus has to be
locked in on what our task is at hand. Is
there a smart deal to be had? Absolutely? Is it
an easy deal to construct?
Speaker 1 (20:08):
It is?
Speaker 5 (20:09):
And I think we both have work to do to
get our own houses in order. There's a lot of uncertainty,
there's a lot of change, and that's probably the worst.
Speaker 1 (20:18):
Time to even contemplate a deal.
Speaker 5 (20:21):
And so we all have work to do, but our
focus whether there's a deal or not, this could be
one heck of an investment and I like the prospects
and we just need to get a funded.
Speaker 3 (20:31):
You know, Alex has been through this and he can
speak to this a bit better than I can. But
I do wonder as you're making the rounds fun intended
at Shinnacock. As you're talking to investors, who are the
investors that you think this makes the most sense for.
Is it an institutional play? Is it a high net
(20:51):
worth play? Is it someone who is already interested in
sports in golf? I know it could be all of
the above, but like, what what's the shape of this
in terms of the target audience as it were from
an investor perspective.
Speaker 5 (21:08):
Yeah, so I think there are several groups. This makes
good sense. For institutional is probably easy. You know, if
if they're if they're locked in on you know, a
three X over six years this this hits that mark.
We we could fail and hit that mark. So I
think there's a pretty good case to be made there.
(21:31):
There's a there's an n OL component here, a net
operating losses carry forward component that is in the billions
in the US and in the billions in the UK.
And so so we have a pretty good structure that
can you know, that can provide an unbelievable opportunity going forward,
not just for our business, but for for the acquiring
(21:52):
business or a business we can put together with this one.
So so from an institutional big Pe firm, and I've
worked in Pe for the last twelve years and it's
not for the faint of heart, I can tell you that,
but it is, but it is something you choose. I
think that would be a great place. The second one
is is media companies. As you'd imagine, this is not
(22:14):
only because of the NL, but we unlock so much opportunity.
I mean, we're in we're broadcasting two hundred countries. We've
barely scratched the service, and if you track what Moto
GP and F one are getting in terms of global
broadcast rights in some of these countries, it's a really
like a logical one to look where to look. Family
offices have been been pretty robust in their approach, that's
(22:37):
more in like the twenty five to fifty million range,
at least the ones we're talking to, as opposed to
taking on.
Speaker 1 (22:43):
All three hundred million.
Speaker 5 (22:45):
And they they seem to want to come in but
and are trying to think, you know, some of them
would like to lead and others of them would like
to follow on. And then there's the I don't know
how to say it, but the I'd say team owners
is probably the best way to say it. So a
team owner you know around the world are very those
(23:07):
seem to be very interested. And those can be football
clubs globally, they can be you know, American sports. But
there seems to be a knock there because just because
of the value creation opportunity.
Speaker 1 (23:21):
So that's that's what we've seen. Scott.
Speaker 4 (23:24):
I look at you and I admire you as an executive,
and I think in this one regard, I think we're
similar in where when there's a lot of noise and adversity,
you don't lean back. You lean in and you get
excited and you get hyper focused. And it is a
great trait to have. And I guess my question is
is about your time as a leader today. How do
(23:45):
you divide your time if it was a pie, are
you raising capital? Are you operating the business? Is it
a media messaging? Talk to me a little bit abo
how you're dividing your time right now.
Speaker 5 (23:55):
So between Chris hack are president and Katie Riley. Chris
I've worked with four times, Katie i've worked with three
times before, and Ross Hall it was my first time
working with him. It's an extraordinary those are those are
three extraordinary operators and the businesses in their hands and
so I'm not spending much time on the current business,
spending almost all my time on investor outreach and working
(24:19):
with the advisors we have in place now. Listen, we
have Alex Partners who's they're extraordinary, Dusarah's our bank, they've
been fantastic, Gibson done world class law froom. And then
our board members John Zimmen and Geene Davis. I mean,
Jean's done four hundred of these restructurings, and so we've
surrounded ourselves with extraordinary advisors who can help navigate the
(24:44):
ship and some some dark and stormy waters and so
but but my I'm locked in. I know what I
have to do, and I'm and I'm willing to do it.
And then of course you know, and I hope, I
hope the two of you would say the same. It's
like number one, you take care of your employees like
you take care yourself first, get employee second, and so
you need to make sure you're mentally, physically, emotional, and
spiritually healthy. I mean that that's the thing is when
(25:06):
I do that and lock in on myself, then I can,
you know, enable others to do the same. And so
we're figuring out what's best for our group, and then
of course the players come next. Then come like the tournaments,
the courses, all that stuff, and then it's like, okay,
now that we have all that stuff set, let's go.
Speaker 1 (25:23):
Raise some money.
Speaker 5 (25:24):
But to answer your question, almost all my time is
spent spent on the road on calls and hunting for dollars.
Speaker 3 (25:42):
So let's say, you know, you get you know, you
get some amount of money, you get some amount of investors.
Get through the year, we get into twenty seven. How
potentially different does the product look that that if if
Alex and I were to come to a tournament next
year here and see you, how do you envision this
(26:04):
the product changing because you know you did have to
cut costs, you have to sort of rethink this business.
Speaker 1 (26:10):
Well, first of all, you should come to an event
this year.
Speaker 5 (26:12):
So our next two events are ones in the UK
and the other ones that trump Edminster in New Jersey.
So I would love to have you as my guests.
And Alex, I know you you're a golfer. Some play
a little program together, Jason, I'm not sure do you play.
Speaker 3 (26:25):
I'm a I am a burgeoning golf cicco and it's
a problem.
Speaker 5 (26:31):
Let me not let me know, so I only say
if you haven't been, some of what we've invested in
has been amazing and not necessary going forward. So if
you were in one of our events in Riad this year,
there was a theme park built next to the golf course,
which is great. It brought in a lot of a
(26:51):
lot of families and fans. You wouldn't see that next year,
you know. But what you would see, for example, is
world class golf courses. We have Valderrama two weeks ago,
one of the best golf courses on the planet.
Speaker 1 (27:04):
If you haven't played, it's a must have.
Speaker 5 (27:06):
You'll see concerts, you know, we oftentimes have a concert
on Friday and Saturday night. You'll see staging that's second
to none in the world in terms of and you'll
see kind of a buff structures around eighteen, a party
hall and one to kind of build that.
Speaker 1 (27:25):
Stadium arena like feel.
Speaker 5 (27:28):
So the player experience won't change much, the fan experience
won't change much. But the everything else, you know, we're
tightening up, you know, quite a bit in terms of
marketing spend, in terms of.
Speaker 1 (27:42):
Some of the operational decisions we've made over time.
Speaker 5 (27:45):
And I have no judgment. I just have love for
what I was, what I was delivered and given.
Speaker 1 (27:49):
I really do. I'm really grateful.
Speaker 5 (27:51):
But the time for discipline and making the tough choices
is what this team is up for now.
Speaker 1 (27:59):
I mean, we're the clean up team, and so we're
here to do what we need to do right.
Speaker 3 (28:03):
And so how confident are you? I mean I think
you know the but I'm gonna ask anyway that the
players stick with that, the players stick with this, because
I mean it sounds like Bryson is locked in. But
the talent is everything at this point, like the product is.
They are the product and Alex knows this better than
anyone from being the talent. But now, also, you know,
(28:25):
being an owner of a couple of professional sports franchises,
how do you make sure they stick.
Speaker 2 (28:32):
Well?
Speaker 1 (28:33):
There?
Speaker 5 (28:33):
I mean, they're the my partners in this business, so
I mean they help build the plan. They're helping me
sell the plan like they're so I don't have the
fear that you might have if you don't know what's
actually happening.
Speaker 1 (28:50):
I have.
Speaker 5 (28:50):
I have comfort because they wrote a lot of it,
you know, and so and they're digging in and this
is this is the ultimate new age athlete play. I
mean this is literally standing side by side, partnering and
building the brands around these players and and so that
they can own part of a leak. All of them
will own equity in the league and the team they
(29:13):
play on.
Speaker 1 (29:14):
And so it's a pretty special opportunity.
Speaker 5 (29:16):
And you get to play world class golf, and you
get to be on a team, and you got to
play for some of the biggest prize purses in the world.
And so it's a pretty good offering. And there's not
much you know, they're there. Batana is not very good.
Their best alternative negotiate agreement isn't very good, you know.
And so I think for the most part, we're locked
(29:37):
in together and we're going to make it happen.
Speaker 1 (29:40):
So I have a lot of confidence.
Speaker 3 (29:42):
And so last question for you, how comfort are you
you can pull this off? I mean, this is this
is you know, you said a piano on your back.
This feels like an orchestra in your back. I mean
this is like, I mean, this is a this is
a tough.
Speaker 2 (29:56):
Hill to climb. What what's your level of confidence at
this point?
Speaker 5 (30:00):
You know, when I first started, I was told I
had six and a half years to get this get
this ship righted, and then it became six and a
half minutes and so and so I look, I I'm
here for a reason. I feel like, you know, everything
I've done in my past has kind of led me
to this point where, you know, working for the great
David Stern and learning living is learning so many lessons,
(30:22):
and then and moving on and running these iconic brands
so I understand league and teams, and then working for
a global company running entertainment properties. And so I feel
like I'm here for a reason. I feel like I'm
I'm made for this moment, and I'm surrounded with people
I love and care about, and that includes these incredible players,
and so I feel good. I don't want to sound
(30:45):
naive or come across as as too overly optimistic, but
this is a property that I'm I'm investing in myself,
you know, and and so we all are, and so
so to that end, if we don't believe in it,
and we've we've chosen the wrong place to put our time, effort,
energy and resources. And so I'm pretty locked in. The
(31:06):
time is tight, and I've raised money before and and
so yeah, there's there's this is a bit of pressure,
but man, you know there's nothing you know, pressure makes diamonds, right,
so I'm hoping for a good one.
Speaker 2 (31:19):
Well, Scott O'Neil, best of luck to you.
Speaker 3 (31:21):
We're really excited to to keep watching this, very excited
to catch up with you.
Speaker 2 (31:25):
This is an amazing moment to watch, all right.
Speaker 4 (31:27):
Thanks you sharing hard for your buddy.
Speaker 1 (31:29):
I appreciate it. Thanks, appreciate it.
Speaker 2 (31:30):
Thank you.
Speaker 1 (31:35):
This episode was produced by Stacy Wong.
Speaker 3 (31:38):
Our senior producers are electeds Hot and Animazarakus Well Connelly
is our video editor. Our theme music is made by
Blake Maples. Our executive producers are Ashley Zingaro and Amy Keene.
Additional support from Rachel Carnivale, Nick Silva, and Elena sos Angelus.
Thanks so much for listening to the deal. If you
have a minute, subscribe, rate and review our show. It'll
(32:00):
help other listeners find us. I'm Jason Kelly. See you
next week.
Bloomberg Audio Studios, Podcasts, Radio News.
Speaker 2 (00:12):
Welcome back to the DAL.
Speaker 3 (00:13):
I'm Jason Kelly alongside Alex Rodriguez today on the show.
Scott O'Neil, Alex, you know, he's the CEO of Live Golf.
This is a guy you and I have both known
over the past few years, gotten to know him pretty well,
and I've certainly watched.
Speaker 2 (00:28):
His career very closely.
Speaker 3 (00:30):
There are very few more influential and candidly successful executives
in sports. But man, what a challenge he has on
his hands now.
Speaker 4 (00:39):
Yeah, he sure does. And Scott O'Neill is someone I've
gotten to know a little bit, and like you said,
he's as well regarded sports executive as.
Speaker 1 (00:46):
There is out there.
Speaker 4 (00:47):
And Mark Lourie, my partner and I when we took
a run at Metz, we got a great time to
get to know him for the CEO job of at
Potential Opportunity. We talked to him again with the Wolves.
But as far as enthusiasm, energy, grit, if anybody can
pull us off, I think Scout o'neio is one of them.
Speaker 3 (01:08):
I mean, but to pull it off is going to
require a series of miracles. I think, you know, we're
talking about live Golf, which you know was heavily heavily funded,
created by the Public Investment Fund of the Kingdom of
Saudi Arabia, and they looked very committed to it until
(01:28):
they were not. There was a strategic shift at the
government level where they basically pulled the funding after this year.
And you know, Scott O'Neill went from a job that
was much heralded, you know, bringing in a very well
seasoned and well regarded executive as we've been talking about,
and this is now he's got to save this thing, like,
(01:50):
he has to figure out a way to keep it
in business. He is out talking to investors all day
every day. The business is continuing to run. They have
some very notable golfers, Bryson de Shamba probably being the
best known. John Rahm obviously another big name global golfer.
He's got to hang on to them. But he's got
to pay for this thing. It's just it's a huge,
(02:12):
huge challenge. So I'm so excited to hear what he
has to say, especially because we know him to be
a really thoughtful and smart guy.
Speaker 1 (02:20):
Yeah.
Speaker 4 (02:21):
Look, they were flushed with cash, with massive investments in
deep pockets and now you go from an artificial essentially
league to a real league that has to make a
profit and has to cut expenses, and he has to
clean things up. And you know, I think his private
equity background with Blackstone will help his experience working with
David Stern and Adam Silver. So he has an incredible
(02:42):
amount of experience. But like you said, this is the
toughest headwind he's ever going to face and has ever faced.
Speaker 2 (02:50):
Yeah.
Speaker 3 (02:50):
Absolutely, all right, Well, we're really excited to get into
it with Scott O'Neill. All right, welcome back to the
d L. I'm Jason Kelly alongside Alex Rodriguez. Really excited
to have with us an old friend of both of
(03:11):
ours and someone who is in the thick of it
right now, to say the least, Scott O'Neil, the CEO
of Live Golf. Scott, Really really good to see you.
A lot going on in the world of sports, and
maybe nothing bigger, more interesting than what you're doing. And
that's coming from two guys who just witnessed the next
(03:32):
when the when the NBA Finals.
Speaker 2 (03:34):
How are you doing?
Speaker 5 (03:36):
You know, I'm pretty happy, you know, as I say
to those who who will listen, I feel like I
won life lottery, you know, I really do. I mean,
I I've had I've had the chance to work for
these amazing brands, Massive Square Garden, NBA, or David Stern
and Adam Silver and the Philadelphia Eagles when Jeff Laurie
bought the team for one hundred and eighty eight million
(03:56):
dollars and people said he was crazy and that was
worth eight billion, you know. And then to work for
Josh Harris and David Blitzer and you know, have a
chance to work with them on building HBSc to what
it is now and then now to you know.
Speaker 1 (04:11):
To take on live golf.
Speaker 5 (04:12):
And by the way, that's in the throes of having
four amazing daughters, an incredible wife and a happy life,
and so the hard stuff is really good in my life,
you know. And so and that's how this is felt like.
We have a world class management team. We have crazy
momentum in this business. I mean, you have we my
first year, I mean I'm only eighteen months in, so
you know, in the first year in twenty five, we
(04:33):
doubled revenue. The twenty six the half of the first
half of this think you were up one hundred other
one hundred million, Like the momentum is like this on
three percent expense growth. And then the world changes, and
so you have a couple choices or opportunities when things
that are out of your control, you know, change in
a different way, a different direction, or out of your favor.
And and I'm, you know, fortunately, whether it's genes or
(04:56):
just surrounding myself with extraordinary people, you know, we kind
of dug in and said, okay, like, what's next. How
are we going to do this the right way? What
does it look like? And so the first thing we
did is got together as a group and we cut
a lot of money out of this budget for themand
of this year thinking thinking those of us said that
are a bit more long in the tooth, like let's
extend this runway as long as we can.
Speaker 1 (05:17):
It's first thing we did.
Speaker 5 (05:18):
And then the second thing we did the next weekend
was okay, what is the plan of the future and
how do we reshape and reimagine what this like? And
the third thing you can imagine is like, we have
very strong relationships with the I have very strong relationships
with these players, and so we went to them and said,
how can we build a plan and a program together
(05:39):
with you, for you, through you, that makes you the
majority shareholders in this league, resets the economics and reimagines
what golf should or could be with a real return.
And so it's not that some things didn't happen as
we expected.
Speaker 1 (05:54):
Of course, you know.
Speaker 5 (05:55):
And it's not that at times I felt like the
rug was pulled six months or six years early.
Speaker 1 (06:01):
And that's okay. And I will tell you, like right now,
unlocked in like I feel focused. We're out meeting investors.
Speaker 5 (06:10):
I'm out here at the US Open at Shinnacock, and
you know, the you know, just about every privatect we've
got in the world seems to be out here. So
it's uh, you know, it's in the Hamptons in New York.
It's almost too good to be true in terms of
putting all the fish in one barrel. So that's been
been fun out here a few days. And I'm out
(06:31):
here for a couple more and just make it sure
I'm connected with old friends and seeing what's of interest.
Speaker 4 (06:36):
So Scott, I mean, I think with your experience that
you just mentioned, I can't think of anyone who's better
positioned and has better experiences dealing from the msgs to
Josh's to some of the best people around you mentioned
David Stern and Adam Silver. I guess my question. And
as a leader, no matter what happens, all eyes are
(06:58):
on you when they start, middle of them and at
the end. And you're a great leader. But take us
in some of the conversations, because I've been on the
side of the players and the owners.
Speaker 1 (07:08):
What are those.
Speaker 4 (07:08):
Conversations from players to you and what are some of
the things you're telling them? And at the same time,
by the way, you also have to raise capital, so
you have a lot going on.
Speaker 5 (07:17):
Yeah, well, nobody knows the all eyes on for either
of you too, all eyes eyes on you. Nobody knows
that better than two of you. And so some people
are meant for this moment. And I don't know if
I'm meant for this moment, but I can tell you
is like I'm excited about the moment. It's what's been
reported on coming to Live is they all got huge payments.
Speaker 1 (07:39):
They all didn't get huge payments.
Speaker 5 (07:41):
A lot of guys got really big payments, you know,
And what we were acquiring was their rights. So we
were buying their nil rights and we're paying upfront for
them in many cases, and those guys hopefully could or
should justify those payments by if their agent was out
selling them, they would either get more than that, and
you know, in that case we got a better deal
(08:02):
or less than that, and that case we may have
overpaid or read on the money.
Speaker 1 (08:06):
But generally that's what we're acquiring. Is there nil rights.
Speaker 5 (08:11):
And so when we talk to the players, one thing
we ask is you know, they say is they're happy.
When I talk to their wives, when I talk to
their caddies. The players love what they do. And some
of that's around team golf. You know, I had an
investor meeting with a guy. He's like a traditional golf fan.
He says to me, I don't get it. I don't
get this team golf. I said, do you get the
(08:31):
Roder Cup, to get that, to get the Olympics, Yeah, yeah,
I get that. Do you get college golf?
Speaker 1 (08:37):
Yeah? I get that.
Speaker 5 (08:37):
I said, Okay, how about the World Cup? You're watching
the World Cup at all?
Speaker 1 (08:41):
Yeah? I said. Look, our teams are very much geographically based.
We have a.
Speaker 5 (08:47):
Ripper Is, an Australian CAMPSFIS team, an Australian team, Louis Ustaisen,
it's a South Africa team, ben On, it's a Korean team, Ian.
Speaker 1 (08:54):
Poulter, Lee Westwood, it's a UK team.
Speaker 5 (08:58):
I said, so we're wrapping these teams around these countries
so when we go there's something to identify with. And
I can tell you in Australia like it was great
Anthony Kim. I don't know if you've how closely you
followed golf, but Anthony Kim is storming down eighteen. He's
got John Ram and Bryce and Dschambou two of the
greatest players on the planet in his group, and he
is freaking storming like six seven birdies and on the
(09:18):
background and I'm looking around at these people like going
crazy and cheering and getting emotional, and they all have
Ripper hats on and Ripper T shirts and Ripper hoodies,
and I was like, okay, this is working. And by
the way, we set the all time of tennis record
for a golf event in Australia. We go to South
Africa two weeks later and we have a South Africa
team with four South Africans.
Speaker 1 (09:39):
They're on the first t for the first two days
and their.
Speaker 5 (09:42):
Families there and they literally the golfers are on the
first tea and very much like Ryder Cup. Like our
first tea, it's surrounded by people and it shoots all
the way down down one again, largest attended golf event
in the history of South Africa as well, over one
hundred thousand people.
Speaker 3 (09:57):
So as you're talking to investors, you know, I mean,
I talked to investors all the time. Alex does too.
I'll just I'll keep it a bean. They're very skeptical
about this, you know, I mean, and I don't know.
Speaker 1 (10:09):
If it's what's probably skeptical about.
Speaker 3 (10:11):
I think they're skeptical about the sustainability of the business model,
that you'll be able to hang on to the golfers
and that you can cut the costs enough that this
is a business that will be essentially investible. So how
do you answer those questions in terms of really just
keeping it going for long enough to prove out what
(10:36):
you know, what you believe to be true.
Speaker 5 (10:39):
Yeah, all good, All tackled. And if you have real
investors that you're talking to, send them my way. I'll
show them the business plan. It's pretty robust and well
I won't share the figure publicly.
Speaker 1 (10:50):
I will tell you.
Speaker 5 (10:52):
The amount of money we cut off this budget would
make the hair in the back of your next stand
up for next year. So I have no interest in
a folly. I have no interest in running a business
for the sake of running a business. I'm interested in
growing value. I'm interested in discipline and a strategic approach
to how we provide a return and and and part
(11:13):
of that is getting to a cash flow positive business,
which we have every intention of doing, but it will
take three years. We could do it quicker. Just so
you know, we could do it quicker. I don't want
to lose some of what makes live golf really special.
And we can talk about what's happening in the golf world,
which makes this more interesting. So from from a cutting
(11:34):
the expense side, I mean this it's the easiest job
I've ever done in my life, Okay, and that that
has not been a problem. And part of that is
having a wonderful team to work with, and the other
part is necessity. And then look this, this business was
built for various reasons and and I don't think any
of us should apologize for it. I mean, the reality
(11:56):
is for a country, for a sovereign wealth fund to
have this sort of platform when wherever I have gone
in the world, I've been standing next to world leaders.
I've been standing next to fifty sixty of the chairmen
and CEOs of the biggest companies in the country. And
this is a commercial to do business and access beyond
(12:16):
golf is the best business development tool in the history
of the world. And so I don't apologize for what
we built or what was built before I got here,
nor am I like defending it. All I'm saying is
going forward. The world has to change, and it has,
and we'll get to a business and sustainable business as
far as the players go. Like, they built this plan
(12:36):
with me, and so this isn't like me standing in
front of a room saying and another thing, We're gonna
build this.
Speaker 1 (12:43):
No, this is like this is this is different.
Speaker 5 (12:46):
I mean this is like heavy on committee, heavy on engagement.
I'm not even sure if I should tell this story,
but I'm going through for sport. It was an eight
am my time at six am Bryce's time, and he
won did the bankers on the phone because he wanted
to walk through sg and A he thought it.
Speaker 1 (13:04):
Was still too high. That's Bryson D. Chambeau.
Speaker 5 (13:07):
My friends that's one of the best golfers on the planet,
and he's going through spreadsheets with me. And finally, my
wife was built doing this like youth program for kids
at our church, and I was like, hey, man, I've
got like I think I had an hour and a
half book. I was like, I've got about thirty more minutes.
You know, I've got to choose one here, and I'm
choosing her, So let's get through these problems. But that's
(13:27):
the level engagement Carlos Artists, who's competing in the US
Open as well, who I find is one of the
smartest businessmen I've met as a professional athlete, heck of
a golfer as well, And look at like these Graham
McDowell was texting right before he came on today about Hey,
have you called so and so?
Speaker 1 (13:46):
Call him?
Speaker 5 (13:47):
You know, like these guys are my partners, Like they're
my business partners, and we intend them to make them
major equity shareholders. So they have a lot of incentive
to manage costs, they have a lot of incentive to
drive revenue and certainly find now what what the what
the other golf leagues, what the golf ecosystem has done
to help us. I'll be forever grateful like they they have.
(14:09):
They have not rolled out the red carpet, and I
appreciate that they have to.
Speaker 2 (14:16):
Bring them back.
Speaker 5 (14:17):
Okay, and they have eliminated what's the plan, sixty five
percent of their events taken away, the sponsor platform, taken
away from television, and plummeting prize purses.
Speaker 1 (14:29):
Thank you very much.
Speaker 5 (14:30):
You know, the European Tour becomes track three of the
track one, Track two, track three, Thank you very much.
And so we'll sit right between track one and track two.
And if you want to live in Dubai or live
in Australia or South Africa, or Europe or the UK,
and you want your kids to go to school or
you went to school, you want to raise them properly
where you grew up. And you're not interested in living
(14:52):
in Jupiter, and there's nothing wrong. I love Jupiter and
there's nothing wrong with it. But that's that might not
be what your wife has planned for your children. And
the question is do you want to play around the
world or do you want to live and stay entirely
in the countone of us?
Speaker 1 (15:06):
And that's not for every player. For Bryson D.
Speaker 5 (15:08):
Chambeau, and I've never seen anything like this from a
professional anthlete. He wants to grow the game of golf
around the world in the purest, most beautiful sense. And
when I go to the majors and sit down, I'm
always asking kids like who's your favorite player. There'sn't a
kid under thirteen that hasn't told me Bryson d Chambeau. Yeah,
And so I think. And then we've got like some
core players, you know who Look what will happen with
(15:30):
the European Tour and they're decreasing their prize pools in
the core core season. You know, we're going to be
a place to play. If you want to play in
a big time event around the world, you're coming to
live golf. The reality is is the golf industry needs
to get healthier.
Speaker 4 (15:58):
Scott, speaking of getting healthier, help us understand how you're
thinking about this round of investment. As an example, if
investor a comes in, is he investing into a team
or is he investing into the league or particular player?
Speaker 1 (16:11):
How does that work?
Speaker 5 (16:13):
That is probably the best attribute we have and we're
selling so of course, I mean we have a term
sheheet on a team now, so you can if you
wanted to buy a team, you can buy a team.
And I'm hoping that those investors come from the respective
markets where those teams hail, Like I would like an
Australian to buy into the Rector, for example. But when
(16:34):
you come into this league, you're going to own sixty
to seventy percent of all.
Speaker 1 (16:39):
The teams in the league.
Speaker 5 (16:40):
And if you look at what and I mentioned Jeff
Lourie from one hundred and eighty eight to eight billion.
We talked about the Timberwolves recently, how you guys have
done okay for yourselves as well, like overnight a dole
hack of a double Yeah, no, God bless America. And
then you know, you look at we mentioned the IPL
franchises and how they're they're rolling, and you know, Adam Silver,
(17:01):
you know the you know, the best commissioner I've ever
seen is selling expansion franchises between seven and nine billion dollars.
And so when you think about what's going to happen
these franchise.
Speaker 1 (17:11):
Values, I feel pretty good about.
Speaker 5 (17:13):
The prospects of an investor saying, yeah, I'd like to
own a team next to John Rahm. Sure, yeah. Phil
Nchoson seems like a really good. How about Bryson d Chambeau,
What about Campsmith? So I like that prospect, and we
have thirteen of them, we can go to fifteen. And
so are they worth one hundred million? Sure as heck hope?
So are they worth two hundred million? Sure as heck hope?
So can they be worth five hundred million someday? If
(17:36):
they're worth any of those numbers I mentioned, this isn't
the easiest return of an investment you'll ever have in
your life. Now, I wish you know, if it were
just that, I would take the bat meet personally and half.
Speaker 1 (17:47):
But I've watched.
Speaker 5 (17:49):
I've also studied what happened in Moto GP and the
Formula one two interesting comps like we don't really compare
ourselves with and around other golf leagues. It's just a
different property. But Moto GP he sold the Liberty Media
for four point eight billion dollars and Formula one over
eight billion. And so what did Liberty see? Well, they
saw a business that could grow in sponsorship value. They
(18:12):
saw a business that could grow in premiums seating. They
saw a business that has broadcasts tied with sponsorship with
huge opportunity to increases they saw huge ticketing business, and
they saw.
Speaker 1 (18:23):
Global you're entree to the world to do business.
Speaker 5 (18:27):
And so from our rights, we think there's also a
second bite of the apple on the league level. So
from an investment standpoint, it's really compelling.
Speaker 2 (18:35):
And so so Scott.
Speaker 3 (18:37):
You know, just going back to sort of the the
existing golf leagues, you know that the PGA has made
some changes. You know, you mentioned the track one track too.
Every conversation at Shinnecock that's not about the golf, that's
not about Live, is about this track one track too,
signature events, all these different things. You know, there was
(18:58):
a time where it looked like there was going to
be some sort of business arrangement between Live and the PGA.
Is that still possible or what is the relationship going forward?
Speaker 1 (19:09):
Yeah? I think our focus is on this transaction.
Speaker 5 (19:15):
Okay, that's where our focus is one hundred percent of
the time and and and we don't let two percent creep.
At this point, we have a we have a ticking
clock and we have to lock in and focus. If
if I had a crystal ball, I'd definitely be in
a different business for sure. But I will say we
have strong relationships with Strategic Sports Group. I've I've known
(19:37):
them for years. Sam Kennedy's has been been a dear
friend for years, and I've had the chance to spend
some time with John Henry and Brian Rolapp and I
went to school together and we've known each other for years.
Speaker 1 (19:46):
Consider him a friend as well.
Speaker 2 (19:48):
Brian role at the Commissioner of the PGA.
Speaker 3 (19:50):
Just for people who don't follow it as closely, Commissioner
of the PGA, Brian Rolapp go ahead.
Speaker 5 (19:55):
Yeah, And so I mean our focus has to be
locked in on what our task is at hand. Is
there a smart deal to be had? Absolutely? Is it
an easy deal to construct?
Speaker 1 (20:08):
It is?
Speaker 5 (20:09):
And I think we both have work to do to
get our own houses in order. There's a lot of uncertainty,
there's a lot of change, and that's probably the worst.
Speaker 1 (20:18):
Time to even contemplate a deal.
Speaker 5 (20:21):
And so we all have work to do, but our
focus whether there's a deal or not, this could be
one heck of an investment and I like the prospects
and we just need to get a funded.
Speaker 3 (20:31):
You know, Alex has been through this and he can
speak to this a bit better than I can. But
I do wonder as you're making the rounds fun intended
at Shinnacock. As you're talking to investors, who are the
investors that you think this makes the most sense for.
Is it an institutional play? Is it a high net
(20:51):
worth play? Is it someone who is already interested in
sports in golf? I know it could be all of
the above, but like, what what's the shape of this
in terms of the target audience as it were from
an investor perspective.
Speaker 5 (21:08):
Yeah, so I think there are several groups. This makes
good sense. For institutional is probably easy. You know, if
if they're if they're locked in on you know, a
three X over six years this this hits that mark.
We we could fail and hit that mark. So I
think there's a pretty good case to be made there.
(21:31):
There's a there's an n OL component here, a net
operating losses carry forward component that is in the billions
in the US and in the billions in the UK.
And so so we have a pretty good structure that
can you know, that can provide an unbelievable opportunity going forward,
not just for our business, but for for the acquiring
(21:52):
business or a business we can put together with this one.
So so from an institutional big Pe firm, and I've
worked in Pe for the last twelve years and it's
not for the faint of heart, I can tell you that,
but it is, but it is something you choose. I
think that would be a great place. The second one
is is media companies. As you'd imagine, this is not
(22:14):
only because of the NL, but we unlock so much opportunity.
I mean, we're in we're broadcasting two hundred countries. We've
barely scratched the service, and if you track what Moto
GP and F one are getting in terms of global
broadcast rights in some of these countries, it's a really
like a logical one to look where to look. Family
offices have been been pretty robust in their approach, that's
(22:37):
more in like the twenty five to fifty million range,
at least the ones we're talking to, as opposed to
taking on.
Speaker 1 (22:43):
All three hundred million.
Speaker 5 (22:45):
And they they seem to want to come in but
and are trying to think, you know, some of them
would like to lead and others of them would like
to follow on. And then there's the I don't know
how to say it, but the I'd say team owners
is probably the best way to say it. So a
team owner you know around the world are very those
(23:07):
seem to be very interested. And those can be football
clubs globally, they can be you know, American sports. But
there seems to be a knock there because just because
of the value creation opportunity.
Speaker 1 (23:21):
So that's that's what we've seen. Scott.
Speaker 4 (23:24):
I look at you and I admire you as an executive,
and I think in this one regard, I think we're
similar in where when there's a lot of noise and adversity,
you don't lean back. You lean in and you get
excited and you get hyper focused. And it is a
great trait to have. And I guess my question is
is about your time as a leader today. How do
(23:45):
you divide your time if it was a pie, are
you raising capital? Are you operating the business? Is it
a media messaging? Talk to me a little bit abo
how you're dividing your time right now.
Speaker 5 (23:55):
So between Chris hack are president and Katie Riley. Chris
I've worked with four times, Katie i've worked with three
times before, and Ross Hall it was my first time
working with him. It's an extraordinary those are those are
three extraordinary operators and the businesses in their hands and
so I'm not spending much time on the current business,
spending almost all my time on investor outreach and working
(24:19):
with the advisors we have in place now. Listen, we
have Alex Partners who's they're extraordinary, Dusarah's our bank, they've
been fantastic, Gibson done world class law froom. And then
our board members John Zimmen and Geene Davis. I mean,
Jean's done four hundred of these restructurings, and so we've
surrounded ourselves with extraordinary advisors who can help navigate the
(24:44):
ship and some some dark and stormy waters and so
but but my I'm locked in. I know what I
have to do, and I'm and I'm willing to do it.
And then of course you know, and I hope, I
hope the two of you would say the same. It's
like number one, you take care of your employees like
you take care yourself first, get employee second, and so
you need to make sure you're mentally, physically, emotional, and
spiritually healthy. I mean that that's the thing is when
(25:06):
I do that and lock in on myself, then I can,
you know, enable others to do the same. And so
we're figuring out what's best for our group, and then
of course the players come next. Then come like the tournaments,
the courses, all that stuff, and then it's like, okay,
now that we have all that stuff set, let's go.
Speaker 1 (25:23):
Raise some money.
Speaker 5 (25:24):
But to answer your question, almost all my time is
spent spent on the road on calls and hunting for dollars.
Speaker 3 (25:42):
So let's say, you know, you get you know, you
get some amount of money, you get some amount of investors.
Get through the year, we get into twenty seven. How
potentially different does the product look that that if if
Alex and I were to come to a tournament next
year here and see you, how do you envision this
(26:04):
the product changing because you know you did have to
cut costs, you have to sort of rethink this business.
Speaker 1 (26:10):
Well, first of all, you should come to an event
this year.
Speaker 5 (26:12):
So our next two events are ones in the UK
and the other ones that trump Edminster in New Jersey.
So I would love to have you as my guests.
And Alex, I know you you're a golfer. Some play
a little program together, Jason, I'm not sure do you play.
Speaker 3 (26:25):
I'm a I am a burgeoning golf cicco and it's
a problem.
Speaker 5 (26:31):
Let me not let me know, so I only say
if you haven't been, some of what we've invested in
has been amazing and not necessary going forward. So if
you were in one of our events in Riad this year,
there was a theme park built next to the golf course,
which is great. It brought in a lot of a
(26:51):
lot of families and fans. You wouldn't see that next year,
you know. But what you would see, for example, is
world class golf courses. We have Valderrama two weeks ago,
one of the best golf courses on the planet.
Speaker 1 (27:04):
If you haven't played, it's a must have.
Speaker 5 (27:06):
You'll see concerts, you know, we oftentimes have a concert
on Friday and Saturday night. You'll see staging that's second
to none in the world in terms of and you'll
see kind of a buff structures around eighteen, a party
hall and one to kind of build that.
Speaker 1 (27:25):
Stadium arena like feel.
Speaker 5 (27:28):
So the player experience won't change much, the fan experience
won't change much. But the everything else, you know, we're
tightening up, you know, quite a bit in terms of
marketing spend, in terms of.
Speaker 1 (27:42):
Some of the operational decisions we've made over time.
Speaker 5 (27:45):
And I have no judgment. I just have love for
what I was, what I was delivered and given.
Speaker 1 (27:49):
I really do. I'm really grateful.
Speaker 5 (27:51):
But the time for discipline and making the tough choices
is what this team is up for now.
Speaker 1 (27:59):
I mean, we're the clean up team, and so we're
here to do what we need to do right.
Speaker 3 (28:03):
And so how confident are you? I mean I think
you know the but I'm gonna ask anyway that the
players stick with that, the players stick with this, because
I mean it sounds like Bryson is locked in. But
the talent is everything at this point, like the product is.
They are the product and Alex knows this better than
anyone from being the talent. But now, also, you know,
(28:25):
being an owner of a couple of professional sports franchises,
how do you make sure they stick.
Speaker 2 (28:32):
Well?
Speaker 1 (28:33):
There?
Speaker 5 (28:33):
I mean, they're the my partners in this business, so
I mean they help build the plan. They're helping me
sell the plan like they're so I don't have the
fear that you might have if you don't know what's
actually happening.
Speaker 1 (28:50):
I have.
Speaker 5 (28:50):
I have comfort because they wrote a lot of it,
you know, and so and they're digging in and this
is this is the ultimate new age athlete play. I
mean this is literally standing side by side, partnering and
building the brands around these players and and so that
they can own part of a leak. All of them
will own equity in the league and the team they
(29:13):
play on.
Speaker 1 (29:14):
And so it's a pretty special opportunity.
Speaker 5 (29:16):
And you get to play world class golf, and you
get to be on a team, and you got to
play for some of the biggest prize purses in the world.
And so it's a pretty good offering. And there's not
much you know, they're there. Batana is not very good.
Their best alternative negotiate agreement isn't very good, you know.
And so I think for the most part, we're locked
(29:37):
in together and we're going to make it happen.
Speaker 1 (29:40):
So I have a lot of confidence.
Speaker 3 (29:42):
And so last question for you, how comfort are you
you can pull this off? I mean, this is this
is you know, you said a piano on your back.
This feels like an orchestra in your back. I mean
this is like, I mean, this is a this is
a tough.
Speaker 2 (29:56):
Hill to climb. What what's your level of confidence at
this point?
Speaker 5 (30:00):
You know, when I first started, I was told I
had six and a half years to get this get
this ship righted, and then it became six and a
half minutes and so and so I look, I I'm
here for a reason. I feel like, you know, everything
I've done in my past has kind of led me
to this point where, you know, working for the great
David Stern and learning living is learning so many lessons,
(30:22):
and then and moving on and running these iconic brands
so I understand league and teams, and then working for
a global company running entertainment properties. And so I feel
like I'm here for a reason. I feel like I'm
I'm made for this moment, and I'm surrounded with people
I love and care about, and that includes these incredible players,
and so I feel good. I don't want to sound
(30:45):
naive or come across as as too overly optimistic, but
this is a property that I'm I'm investing in myself,
you know, and and so we all are, and so
so to that end, if we don't believe in it,
and we've we've chosen the wrong place to put our time, effort,
energy and resources. And so I'm pretty locked in. The
(31:06):
time is tight, and I've raised money before and and
so yeah, there's there's this is a bit of pressure,
but man, you know there's nothing you know, pressure makes diamonds, right,
so I'm hoping for a good one.
Speaker 2 (31:19):
Well, Scott O'Neil, best of luck to you.
Speaker 3 (31:21):
We're really excited to to keep watching this, very excited
to catch up with you.
Speaker 2 (31:25):
This is an amazing moment to watch, all right.
Speaker 4 (31:27):
Thanks you sharing hard for your buddy.
Speaker 1 (31:29):
I appreciate it. Thanks, appreciate it.
Speaker 2 (31:30):
Thank you.
Speaker 1 (31:35):
This episode was produced by Stacy Wong.
Speaker 3 (31:38):
Our senior producers are electeds Hot and Animazarakus Well Connelly
is our video editor. Our theme music is made by
Blake Maples. Our executive producers are Ashley Zingaro and Amy Keene.
Additional support from Rachel Carnivale, Nick Silva, and Elena sos Angelus.
Thanks so much for listening to the deal. If you
have a minute, subscribe, rate and review our show. It'll
(32:00):
help other listeners find us. I'm Jason Kelly. See you
next week.
Popular Podcasts
Stuff You Should Know
If you've ever wanted to know about champagne, satanism, the Stonewall Uprising, chaos theory, LSD, El Nino, true crime and Rosa Parks, then look no further. Josh and Chuck have you covered.
Dateline NBC
Current and classic episodes, featuring compelling true-crime mysteries, powerful documentaries and in-depth investigations. Follow now to get the latest episodes of Dateline NBC completely free, or subscribe to Dateline Premium for ad-free listening and exclusive bonus content: DatelinePremium.com
The Bobby Bones Show
Listen to 'The Bobby Bones Show' by downloading the daily full replay.