The archive · Consumer Apps · Strategic decision · 2000–2025
StubHub's ticket-resale bet finally goes public: $23.50 IPO, then a 6.4% drop on debut
The 25-year-old ticket marketplace raises $800M on NYSE in Sept 2025; shares close down 6.4% at $22, valuing it at $8.1B.
StubHub
What the business is
StubHub is an online ticket-resale marketplace connecting buyers with sellers of event tickets, taking a cut of transactions; more than 40 million tickets were sold on it in 2024 from about one million sellers.
How it started
StubHub was founded around 2000 as an online exchange for resale tickets, betting that fans would prefer a transparent, guaranteed marketplace over scalpers and classified ads. eBay bought it for $310 million in 2007, and co-founder Eric Baker bought it back in 2020 for roughly $4 billion through his company Viagogo, combining the two resale businesses.
What happened
The pandemic crushed live events, then demand rebounded on hits like Taylor Swift's Eras Tour and Beyoncé's Renaissance Tour. StubHub shelved an IPO attempt in July 2024, filed again in March 2025, and delayed when April tariffs rattled markets. In Q1 2025 revenue rose 10% to $397.6 million, the net loss widened to $35.9 million, and gross merchandise sales reached $2.08 billion. The FTC warned the company in May about displaying all-in ticket prices under its junk-fees rule.
How it ended up
StubHub priced its IPO at $23.50 on September 16, 2025 — the middle of its range — raising $800 million, and completed the offering on September 18. Shares opened at $25.35 on the NYSE but closed the debut day at $22, down 6.4%, valuing the company at $8.1 billion.
Background
StubHub is the ticket-resale marketplace that bet fans would rather buy and sell event tickets in a transparent, guaranteed online exchange than deal with scalpers. The business connects buyers with about one million sellers and takes a cut of each transaction; more than 40 million tickets were sold through it in 2024.
The company's 25-year road to the public market went through two owners: eBay acquired it for $310 million in 2007, and co-founder Eric Baker bought it back in 2020 for roughly $4 billion via Viagogo, merging the two resale platforms. Live events collapsed in the pandemic, then surged back, with blockbuster tours driving demand.
StubHub tried to go public twice before it succeeded: it shelved an IPO in July 2024, filed again in March 2025, and paused when tariff-driven volatility hit markets in April. In Q1 2025 revenue grew 10% to $397.6 million, the net loss widened to $35.9 million, and gross merchandise sales hit $2.08 billion.
The IPO finally priced at $23.50 on September 16, 2025, raising $800 million, with the offering completed September 18. Shares opened at $25.35 but closed at $22, down 6.4%, valuing StubHub at $8.1 billion — a muted debut even as Klarna and other tech IPOs popped.
What has to be true
- The founding bet was trust: guarantee tickets are valid, and an open resale market beats scalpers and classifieds.
- Live events are lumpy and hit-driven — the prospectus itself warned that tours like the Eras Tour make revenue hard to predict.
- After two shelved attempts, the 2025 IPO priced in the middle of its range: the window was open, but not euphoric, for a company carrying a $4 billion buyback history.
- The debut closed down 6.4% even as fintech peers popped, a sign investors weighed the resale economics — and FTC scrutiny of ticket pricing — skeptically.
What can be applied
A durable marketplace can outlive owners and shocks — eBay, Viagogo, COVID — but the public market prices the full history, and even a hot IPO window does not guarantee a first-day gain.
Aftermath
As of September 18, 2025, StubHub was public on the NYSE under ticker STUB with a market value around $8.1 billion after a first-day close of $22. The company said it sold more than 40 million tickets in 2024 from about one million sellers, and it competed with SeatGeek, Vivid Seats and Ticketmaster parent Live Nation. Its May 2025 FTC warning letter over all-in price display remained open, and regulators were probing bot circumvention of ticket limits in the industry. Eric Baker remained CEO and controlling stockholder after the offering.
Sources
- StubHub slides 6% in NYSE debut after ticket seller's long-awaited IPO
- StubHub Holdings, Inc. Form 8-K
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