Madrone Partners-backed StubHub is targeting a valuation of up to $9.2 billion in its US initial public offering, the ticket reseller said, becoming the latest company to resume listing plans delayed in April due to tariff uncertainty.
The New York-based firm is seeking up to $851m by offering 34 million shares priced between $22 and $25 each.
Buoyant equity markets and robust tech earnings have sparked a long-awaited recovery in the IPO market this fall, after uncertainty from US trade policy forced several companies including StubHub to delay listing plans earlier in the year.
In an IPO market led by crypto and other tech-heavy companies, StubHub’s debut could be a barometer of investor appetite for consumer-focused firms, which tend to be more sensitive to macroeconomic downturns.
StubHub was co-founded in 2000 by Jeff Fluhr and current CEO Eric Baker, who had initially left the firm – and launched viagogo, a rival ticket reseller – in Europe in 2006.
Baker had exited StubHub ahead of its $310m sale to e-commerce firm eBay, completed in 2007. More than a decade later, in 2020, viagogo bought StubHub from eBay for $4.05 billion.
StubHub was valued at $16.5 billion in 2021, according to data from Tracxn.
“I think the bankers will also try to sell the deal on its valuation, which is below prior expectations,” said Matt Kennedy, senior strategist at IPO-focused research and exchange-traded funds provider Renaissance Capital.
Eye popping first day gains by recent market debutantes like design software firm Figma and Bullish have led many to wonder if underwriters – cautious of volatility and economic uncertainty from sweeping US tariffs – are pricing conservatively.
The company is valued at $14 billion or $15 billion by other investors, far greater than the targeted $9.2 billion, according to a current StubHub investor that declined to be named publicly.
“I think they will end up pricing higher than that number for sure,” the investor told Reuters.
StubHub declined to comment on its pricing strategy.
The live events industry has benefited from an explosion in consumer preference for out-of-home experiences and entertainment.
Record-smashing concert ticket sales such as those seen for singer Beyoncé’s “Cowboy Carter” tour this summer have boosted revenues for rival Ticketmaster’s parent, Live Nation Entertainment.
StubHub’s revenue rose 3% to $827.9m for the six months ended June 30 from a year ago, while its losses more than doubled to $111.8m in the same period.
StubHub will list on the New York Stock Exchange under the “STUB” ticker symbol.
Article Source – Ticketing platform StubHub eyes up to $9 billion valuation in US IPO