The Sport Business Blog

Hans Westerbeek Hans Westerbeek

Scarcity can’t be bought: What LIV Golf tells private capital about investing in sport

Earlier this month at SportNXT in Melbourne, elite fund managers confidently pitched sports as the ultimate, recession-proof asset class. They talked of multi-trillion-dollar valuations, unshakeable fan loyalty, and bulletproof cash flows built on absolute scarcity. Then, LIV Golf filed for Chapter 11 bankruptcy.

Despite a $5 billion cash injection from Saudi Arabia’s Public Investment Fund, the league burned through nearly $100 million a month trying to manufacture overnight what takes leagues like the NFL decades to build. LIV's sudden collapse exposes a brutal truth for institutional lenders: you cannot buy generational attachment, and you cannot manufacture scarcity on a five-year timeline, no matter how deep your pockets are.

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Hans Westerbeek Hans Westerbeek

The Enhanced Games, big pharmaceutical and protecting sport

The biggest disruption in international sport since the 2015 Russian state doping scandal is launching in Las Vegas in May, and most of the sport business world has not yet noticed.

It is called the Enhanced Games. A four-day competition — swimming, sprints, hurdles, weightlifting — with no drug testing, US$250,000 per gold, US$1 million per world record, and athletes openly on a supervised pharmacological program.

But the swim meet is not the story.

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