StubHub Lays Off More Than 100 Employees
More than 100 people were laid off from StubHub earlier this week, Billboard has confirmed.
More than 100 people were laid off from StubHub earlier this week, Billboard has confirmed.
“It is part of our normal course of business to regularly evaluate initiatives and investments for StubHub’s continued long-term success,” a statement from Stubhub reads. “As a result, we are adding and removing positions as appropriate across the company.”
Sources say that the layoffs were part of a planned reallocation of resources, which also included the renegotiation of the some of the company’s real estate contracts. The layoffs were reportedly spread across multiple locations and geographic areas.
First reported by BizJournals.com, sources tell Billboard the layoffs are not related to eBay’s sale of the ticket site to Viagogo for $4 billion.
The closing of the sale is not a done deal — British watchdog the Competition and Markets Authority (CMA) has opened a preliminary investigation into the merger and the U.S. Federal Trade Commission is also reportedly looking into the sale.
If the merger is approved, sources say Viagogo founder and CEO Eric Baker will have to find a way to drive more profitability out of the company. eBay doesn’t disclose Stubhub’s net earnings in its quarterly statements, but sources tell Billboard that the $4 billon price tag represents about 20 to 25 times earnings before interest, taxes, depreciation, and amortization.
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The layoffs come during the busy Super Bowl season for the company with the San Francisco 49ers facing off against the Kansas City Chiefs at Super Bowl LIV in Miami. Prices for the big game start at $4,000 and Stubhub is also listing tickets for dozens of other related events taking place around the Super Bowl.