StubHub, the popular online ticketing service, is reportedly planning to go public with an initial public offering (IPO) this summer. According to sources familiar with the matter, the company is aiming for a valuation of at least $16.5 billion, which is what it was valued at during its latest round of private funding in late 2021.
StubHub has been a key player in the ticketing industry since its launch in 2000. It was initially purchased by eBay for $310 million in 2007 but was later reacquired by its co-founder Eric Baker in 2020 for $4 billion through his new company Viagogo. Now, StubHub is looking to enter the public market with the help of JPMorgan and Goldman Sachs, with whom it has been working for the past two years on the IPO.
The announcement comes at a time when StubHub’s rival, SeatGeek, is also reportedly considering an IPO this year. If StubHub proceeds with its IPO, it will join competitors Vivid Seats and Live Nation in trading on the public market. Vivid Seats currently has a market cap of $1.2 billion, while Live Nation is valued at just under $24 billion, according to FactSet.
The Covid-19 pandemic has had a significant impact on the live events industry, leading to a surge in demand for out-of-home entertainment and experiences. As people started attending concerts and events again, ticketing companies experienced record-breaking sales. Artists like Taylor Swift and Beyoncé saw their concert tickets sell out quickly, boosting revenues for ticketing platforms like StubHub.
The potential IPO of StubHub is expected to attract significant attention from investors, given the company’s strong presence in the ticketing industry and its projected valuation. However, neither StubHub nor its financial partners have commented on the timing of the IPO.
In conclusion, StubHub’s plans for an initial public offering this summer with a valuation of at least $16.5 billion have generated excitement in the ticketing industry. As live events make a comeback following the Covid-19 pandemic, StubHub aims to capitalize on the growing demand for tickets and experiences. Investors will be eagerly watching to see how the IPO unfolds and how it will impact the competitive landscape of the ticketing market.
