Vivid Seats, an online ticket resale marketplace, is considering a sale based on interest from potential buyers.
The Chicago-based company works with stub hub and Seat GeekFinancial advisers have been hired to evaluate the takeover bid, and a number of private equity firms have expressed interest in acquiring the business, Burundi It was reported last week (December 30, 2024) quoting people familiar with the matter.
Vivid Seats shares soared on the news 20% On December 30, it recorded the largest single-day increase since its listing. The surge gave the company a market capitalization of $943 million. As of Friday (January 3), vivid seats‘The market value is $955 million.
The company went public through a merger Horizon Acquisition Corporationa special purpose acquisition company (SPAC), 2021.
The deal values Vivid Seats at approx. $1.95 billionaccording to Burundi. Vivid Seats’ current enterprise value is $1.19 billionaccording to FactSet data. However, the company’s share price has faced considerable pressure over the past year, falling 40% before its recent rise.
Vivid Seats’ net profit plummeted 43% to $9.2 million in the third quarter ended September 30, 2024, from $16 million in the previous year. Revenue fell 1% year over year, from $188.1 million to $186.6 million. “Despite the headwinds we experienced in terms of concert supply (both venue and artist mix), which we believe to be temporary, demand remained strong in the third quarter,” Vivid Seats CEO Stan Chia said in November.
Vivid Seats’ current ownership includes a significant stake in Todd Boehly-led Eldridge Industries, which controls about 41% of the company’s Class A stock. Private equity firm GTCR also maintains a minority position in the business.
When contacted for comment on the potential sale, Vivid Seats said The company would not comment on “rumors or speculation,” while representatives from buyout firm GTCR, which also owns a minority stake in the company, also declined to comment. Burundi. A representative for Eldridge did not respond to a request for comment, the news outlet said.
Discussions of potential sales come as the ticketing industry continues to evolve, driven by technological advances, changing consumer preferences and competition. It also fueled a wave of strategic moves in the ticketing industry.
Last year, it was reported that StubHub was planning an initial public offering in late summer 2024, with a target valuation of $16.5 billion. However, wall street journal Reports say StubHub has postponed its IPO plans due to weak market conditions.
According to reports, in addition to Vivid Seats, another ticketing platform DICE is also considering selling in July 2024.
Burundi Reports at the time said DICE was in advanced talks to sell a large stake in the company, which could value it at “hundreds of millions of dollars.” SoftbankOne of DICE’s major investors is reportedly keen to sell its stake.
In June, Germany-based live music giant CTS Eventim completed the acquisition of Vivendi’s ticketing and festival business, which includes the SeeTickets platform.
The total enterprise value of the transaction is approximately 300 million euros (about. $309 million at current exchange rates).
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