25 November 2019, India:
eCommerce firm eBay Inc. and ticket marketplace viagogo today announced they have entered into a definitive agreement for eBay to sell StubHub to viagogo for a purchase price of $4.05 billion in cash.
The sale is expected to close by the end of the first quarter of 2020, subject to regulatory approval and customary closing conditions.
Scott Schenkel, Interim Chief Executive Officer of eBay Inc, said, “We believe this transaction is a great outcome and maximizes long-term value for eBay shareholders. Over the past several months, eBay’s leadership team and Board of Directors have been engaged in a thorough review of our current strategies and portfolio, and we concluded that this was the best path forward for both eBay and StubHub. We firmly believe in the StubHub business and we are excited about its future growth potential with viagogo as its owner.”
Eric Baker, Founder and CEO, viagogo, said, “It has long been my wish to unite the two companies. I am so proud of how StubHub has grown over the years and excited about the possibilities for our shared future.”
Eric Baker, added, “Buyers will have a wider choice of tickets, and sellers will have a wider network of buyers. Bringing these two companies together creates a win-win for fans – more choice and better pricing.”
Eric Baker also co-founded StubHub while in business school, but left before the business was sold to eBay for $310 million in 2007.
Sukhinder Singh Cassidy, President of StubHub, said, “Bringing StubHub and viagogo together will allow us to drive further expansion and innovation, and create a more competitive offering for live event fans globally. This provides a great opportunity to expand our business, pursue new partnerships and execute our strategy. We expect a seamless transition for all our employees, partners and customers, and we are excited for what the future holds.”
Goldman Sachs & Co. LLC is acting as financial advisor to eBay. Wachtell, Lipton, Rosen & Katz and Quinn Emanuel are acting as legal advisors to eBay. J.P. Morgan is acting as sole financial advisor and sole underwriter of the committed debt and preferred equity financings for viagogo. Skadden, Arps, Slate, Meagher & Flom LLP and Kirkland & Ellis LLP are acting as legal advisors for viagogo.
(Image – eBay)
