Ticket resale website Viagogo has months to sell StubHub’s operations outside North America, after the UK competition watchdog ordered it to unravel large swathes of a US$4 billion takeover that shook the world of live events.
The Competition and Markets Authority (CMA) stated combining two businesses with 90% of the UK’s market for concert, theater and sports ticket resale would have reduced competition, potentially leading to higher fees and worse service for consumers.
It said Viagogo could keep StubHub’s US and Canadian operations but must sell its UK and international arms. The CMA has typically given the selling company several months to find a buyer in similar cases.
The regulator can take over the process if a sale does not happen fast enough and has no obligation to achieve a high price to recoup any of Viagogo’s US$4 billion spend on the deal.
The CMA’s order is a tougher version of a proposal made last year by Viagogo, which has faced controversy in the UK for flouting consumer law, working with powerful ticket touts and launching a legal battle against Ed Sheeran.
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
Featured News
Redfin Settles $9.2M Commission Inflation Lawsuits
May 7, 2024 by
CPI
DOJ Supports Colorado’s Efforts to Block Kroger-Albertsons Merger
May 7, 2024 by
CPI
Japan Considers Regulation of AI Developers
May 7, 2024 by
CPI
European Commission Extends Decision Deadline for Ita-Lufthansa Merger
May 7, 2024 by
CPI
UK, US and Australia Sanction Senior Leader of LockBit Cybercrime Gang
May 7, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI