eBay has entered a definitive agreement to sell StubHub to viagogo, a global ticket marketplace for live sports, music and entertainment events, for $4.05 billion in cash. The transaction is expected to close in Q1 2020, subject to regulatory approval and customary closing conditions.
Eric Baker, Founder and CEO of viagogo, co-founded StubHub while he was in business school, but left before eBay purchased the company for $310 million in 2007. He has since sought to combine the two companies, which will together sell hundreds of thousands of tickets daily across more than 70 countries.
“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,” said Sukhinder Singh Cassidy, President of StubHub in a statement. “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.”
Former eBay CEO Devin Wenig first hinted at a potential sale of StubHub during a July investor call, when he said that the e-Commerce retailer was “actively reviewing the role and value of StubHub and Classifieds in our portfolio.” The ticket brand’s steady growth, with revenue up 5% to $306 million in Q3 2019, likely made it a tempting target for an acquisition.