ESPN: PGA Tour Memo Details How $1.5B Will Be Spent After $3B SSG Investment Deal

The PGA Tour began to outline how it will disperse the $1.5 billion it's due to receive from a new partnership.

According to ESPN's Mark Schlabach, PGA Tour commissioner Jay Monahan issued a memo to tour members saying $930 million in player equity grants will be distributed to players who fall into one of four categories.

The vast chunk of that money ($750 million) will be given to the top 36 golfers "based on career performance, last five-year performance and Player Impact Program (PIP) results."

Another $75 million will be shared among 64 players based on their performances over the last three years, with $75 million more issued to 36 golfers "who were instrumental in building the modern PGA Tour, based on career performance."

The PGA Tour announced last week it struck a deal with Strategic Sports Group, a consortium of private equity figures and sports owners, that's worth up to $3 billion.

Details of the agreement remained somewhat scarce, though. One thing the tour did confirm was that around 200 members were eligible to become equity stakeholders in the new for-profit venture.

Monahan's memo helps to answer some of the questions golfers will have had.

According to Schlabach, the commissioner also said the PGA Tour will continue awarding equity grants on an annual basis based on a combination of performances and the PIP. That process will start in 2025 and continue through at least 2030.

"It is important to note that all PGA Tour members are eligible to receive recurring grants—regardless of whether or not they received an initial grant," Monahan said. "These recurring grants will reward future top performers and will be based on last three-year performance, last year performance and Player Impact Program results."

The major cash infusion comes as the proposed merger between the PGA Tour and LIV Golf continues with no end in sight.

The launch of PGA Tour Enterprises doesn't preclude the merger from being finalized, but it certainly came off as a shot across the LIV bow. The tour's financial footing is now much more stable, and its top stars stand to earn the kind of money that could keep them from defecting to the breakaway series.