Ticket platform StubHub files for IPO

Los Angeles Times - Mar 22nd, 2025

StubHub Holdings Inc. has filed for an initial public offering (IPO) revealing a revenue increase and a minor annual loss for 2024. The company reported a $2.8 million loss on $1.77 billion in revenue, contrasting with a $405 million profit on $1.37 billion in revenue in 2023. With adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) at $299 million for 2024, the company shows a decline from the previous year but a significant recovery from a $57-million EBITDA loss in 2022. The IPO, facilitated by major financial entities including JPMorgan Chase & Co. and Goldman Sachs Group Inc., will list the company's shares on the New York Stock Exchange under the symbol STUB, though the size and pricing of the share sale remain undisclosed as of this filing.

This move follows a previously postponed IPO plan in the wake of a sales surge from Taylor Swift's The Eras Tour, delayed due to market conditions. StubHub's history includes its acquisition by eBay in 2007, subsequent acquisition by Viagogo in 2019 for $4.05 billion, and it now operates across more than 200 countries. Eric Baker, the company's co-founder, holds significant voting power with his Class B shares. Major stakeholders include Madrone Partners LP and Bessemer Venture Partners, both of whom have board representation. This IPO represents a significant step in StubHub's strategic growth and adaptation in the competitive ticket resale market, potentially impacting its market valuation and stakeholder dynamics.

Ipo Taylor Swift Stock Market Jp Morgan Chase Goldman Sachs Stub Hub Eric Baker Viagogo Ticket Resale

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RATING

7.6

Fair Story

Consider it well-founded

The article provides a comprehensive and factual overview of StubHub's financial performance and IPO plans. It scores well in accuracy, source quality, and timeliness, leveraging credible sources and presenting relevant, up-to-date information. However, it could improve in balance and engagement by incorporating a wider range of perspectives and interactive elements. The clarity and readability are strong, making the article accessible to a general audience, though some technical terms could be simplified. Overall, the article effectively informs readers about StubHub's market position and potential investment opportunities, with room for enhancement in perspective diversity and reader engagement.

Accuracy

The article presents a detailed account of StubHub's financial performance and IPO plans, with most claims aligning with available regulatory filings and financial news reports. The figures for revenue, net income, and losses are consistent with those reported by the SEC, enhancing the credibility of the information. However, the article could improve by providing more direct citations or references to these primary sources to strengthen its factual basis further. Additionally, details about the IPO's size and price range are noted as pending, which is accurate but leaves some information unverified at this point.

Balance

The article maintains a neutral tone and provides a balanced overview of StubHub's financial situation and IPO plans. It includes historical context and mentions both positive aspects, such as past revenue growth, and challenges, like recent losses. However, the piece could benefit from a broader range of perspectives, such as industry expert opinions or investor sentiments, to provide a more comprehensive view of the implications of the IPO.

Clarity

The article is well-structured and uses clear language, making it accessible to readers with a general understanding of financial news. It logically presents information about StubHub's financial performance and IPO plans. The inclusion of historical context aids comprehension, although some technical terms related to financial performance could be further explained for clarity.

Source quality

The article relies on credible sources such as SEC filings and Bloomberg News, which are authoritative in financial reporting. The use of these sources lends reliability to the claims made. However, the article would benefit from a wider variety of sources, including direct quotes from company representatives or analysts, to enhance the depth of reporting and provide multiple viewpoints.

Transparency

The article is transparent about the basis of its claims, referencing SEC filings and acknowledging the pending nature of some IPO details. However, it could improve by explicitly detailing the methodology for financial calculations or providing links to primary documents. This would help readers understand the basis of the reported figures and claims more clearly.