SeatGeek and RedBall Acquisition Corp announced Wednesday that their plans to merge and bring the ticket company public have been terminated. The deal was scuttled “as a result of current unfavorable market conditions, particularly impacting growth technology companies,” according to the announcement.

Plans for the companies to merge had been announced in October of 2021, a deal that would have valued SeatGeek at approximately $1.35 billion when completed. It had been on target to get done as recently as May 10, when RedBall (NYSE: RBAC) announced plans for a special meeting to be held on June 1 at 9:30 a.m. to hold a vote that would complete the transaction. Instead, the deal was announced as no longer underway an hour earlier than the planned vote.

“SeatGeek is a great technology company with a proven track record of growth and strong momentum,” says Andy Gordon, partner at RedBird Capital speaking on behalf of RedBall. “However, given current market conditions, it was mutually determined that the best option for all parties at this time is for SeatGeek to remain private. We wish this incredible team continued success.”

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In April, SeatGeek announced record revenues from Q4 of 2021 and the full year. Its earnings report detailed $82.5 million in net revenue on the quarter – more than 17 times the comparable figure from Q4 2020 and up more than 30 percent from the $56.8 million reported in Q3 2021. For the full year, the company reported $186.3 million in net revenue, 5.5 times the number from the COVID-ravaged 2020 year, and up close to 24 percent over 2019.

However, the market has been tough of late, particularly against so-called “growth” companies. Vivid Seats (NASDAQ: SEAT), which went public in a similar SPAC deal in 2021, recently announced plans to buyback up to $40 million in outstanding stock. That decision was made at a time when the share price had fallen to just above $7 per share, far off its high point soon after its merger closed in the fall of last year – and one TicketNews source believed it was due to the company’s leadership believing it was undervalued due to the market conditions. Live Nation Entertainment (NYSE: LYV) has traded at below $90 for much of May after reaching prices as high as $126 earlier this year.

“Given the volatility in the public markets, together, we determined that a termination of the business combination was in the best interest of all parties,” says SeatGeek CEO and Co-Founder Jack Groetzinger. “We have a tremendous amount of respect for the great team at RedBall and appreciate their partnership throughout the process. SeatGeek recently announced two record-breaking quarters – Q3 and Q4 of 2022 – and we remain confident in our continued long-term growth trajectory.”

The full announcement of the deal’s termination is included below:

RedBall Acquisition Corp. and SeatGeek, Inc. Mutually Agree to Terminate Business Combination Agreement due to Unfavorable Market Conditions

NEW YORK, June 01, 2022 (GLOBE NEWSWIRE) — RedBall Acquisition Corp. (“RedBall”) (NYSE: RBAC), a publicly traded special purpose acquisition company, and SeatGeek, the technology platform that is transforming the live event experience for fans, teams, and venues, announced today that on May 31, 2022 the companies have mutually agreed to terminate their previously announced business combination agreement and plan of reorganization (the “Business Combination Agreement”) with immediate effect.

The parties decided to terminate the Business Combination Agreement as a result of current unfavorable market conditions, particularly impacting growth technology companies.

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Andy Gordon, Partner at RedBird Capital, on behalf of RedBall, said, “SeatGeek is a great technology company with a proven track record of growth and strong momentum. However, given current market conditions, it was mutually determined that the best option for all parties at this time is for SeatGeek to remain private. We wish this incredible team continued success.”

Jack Groetzinger, SeatGeek CEO and Co-Founder, said, “Given the volatility in the public markets, together, we determined that a termination of the business combination was in the best interest of all parties. We have a tremendous amount of respect for the great team at RedBall and appreciate their partnership throughout the process. SeatGeek recently announced two record-breaking quarters – Q3 and Q4 of 2022 – and we remain confident in our continued long-term growth trajectory.”

As required by Cayman Islands law, RedBall will convene the extraordinary general meeting of RedBall’s shareholders scheduled to be held on June 1, 2022 to approve the proposed business combination. However, as a result of the termination of the Business Combination Agreement, at the extraordinary general meeting, RedBall intends that none of the proposed resolutions to approve the Business Combination Agreement and the connected matters concerning the transactions contemplated thereby would be put forward for the consideration and approval of RedBall’s shareholders and that the extraordinary general meeting would be adjourned indefinitely. In light of the termination of the Business Combination Agreement, the proposed business combination will not be concluded and any ordinary shares submitted for redemption will not be redeemed at this time and will be returned to the respective holder, broker or bank in the manner described in the definitive proxy statement for the extraordinary general meeting.

Additional information about the termination of the Business Combination Agreement will be provided in a Current Report on Form 8-K to be filed by RedBall with the U.S. Securities and Exchange Commission and available at www.sec.gov.