CMA Tells Viagogo, StubHub To Pause Merger Until Integration Is Approved CMA Tells Viagogo, StubHub To Pause Merger Until Integration Is Approved
The UK’s Competition and Markets Authority (CMA) ordered ticket resale websites Viagogo and StubHub to pause its merger until it probes the $4.1 billion... CMA Tells Viagogo, StubHub To Pause Merger Until Integration Is Approved

The UK’s Competition and Markets Authority (CMA) ordered ticket resale websites Viagogo and StubHub to pause its merger until it probes the $4.1 billion integration.

According to an enforcement order published today, the CMA has banned both firms from taking further action which might “lead to the integration of the StubHub business with the Viagogo business” and believe that the pair were merging before a final ruling was put into place.  The CMA noted that StubHub and Viagogo must now report every two weeks, starting February 21, to prove that they are still operating as separate entities, ceasing any activities which would “impair the ability of the StubHub business or the Viagogo business to compete independently.”

Under this new order, the CMA said that both StubHub and Viagogo must continue to operate customer and supplier lists separately and should not integrate technology or transfer key staff.

“The requirement to hold separate the two businesses of Viagogo and StubHub is an expected part of the merger process and we fully acknowledge the importance of CMA’s examination into the deal,” Viagogo said in a statement to City A.M.

StubHub issued a similar response, noting that “we do not expect any impact to the planned close of StubHub and Viagogo transaction.”

“We are on track as previously communicated to complete the sale by the end of the first quarter of 2020,” StubHub said.

Last November, Viagogo announced the purchase of StubHub for $4.05 billion in cash from eBay. The CMA is still investigating the merger, as it fears the integration would lead to Viagogo controlling too much of the secondary market.

  • Bill

    February 11, 2020 #1 Author

    is not an honest seller, and their customer service help for a small seller/buyer is overseas. These customer service personnel are hard to understand because they have different accents and pronunciation of words, and they often misunderstand the caller because their knowledge of the English language is not familiar with the American usage of the language (they learn from books or traditional British schooling). We have stopped selling on StubHub due to several instances of misunderstanding and unnecessary chargebacks due to miscommunication. It takes too long to communicate with their regular customer service people (overseas), plus they will not put a supervisor on the phone to help matters, if you ask for one. They have a very selfish attitude, and do not care about the buyer or the seller. All they care about is how they can cancel an order that was shipped and received by the buyer, and charge the seller double for extra profit to StubHub. StubHub does not provide an email address for customer service contact, just a phone number to speak to someone overseas who does not understand or care.
    Viagogo is probably going to be even worse for customer service.
    StubHub is not worth what Viagogo is supposedly paying for it (it’s all a hype), plus the ticket reselling business as a whole is in trouble due to TicketMaster’s monopoly on ticket pricing and variable pricing as well as throwing in extra tickets at cost for an event, within the last couple of days of the event, to compete with all resellers. They have a price monopoly: they can price all tickets higher or lower whenever they please, while examining the resellers’ prices. The only one making money will be TicketMaster.
    StubHub does not have that much power and control, they just make money, whether the seller is making or losing money. TicketMaster is always making money, being the original seller of the tickets, as well as the reseller of the tickets for more and more events (they actually double-dip, charging service fees twice for the same ticket).
    What a world this has become…. greed, greed, and more greed.
    Nobody cares about the average consumer.
    Did someone mention Revolution?

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