Viagogo widens reach with StubHub purchase

Controversial ticket resale marketplace Viagogo has bought rival StubHub from eBay.

The US$4.05 billion (NZ$6.3b) purchase will unite two of the largest global ticket reselling platforms, amid ongoing concerns over business practices and consumer rights.

Both StubHub and operate in New Zealand.

The Commerce Commission has brought proceedings against

Viagogo

Swiss-based Viagogo alleging the company made false and misleading representations on its website.

In October, the Commerce Commission was given the green light to return to the High Court in its fight against the Viagogo.

The commission was seeking interim relief against Viagogo in an effort to prevent the Swiss company from operating in New Zealand.

A hearing has been set down for March 6, to hear Viagogo’s claim that New Zealand courts do not have jurisdiction over the company which operates online and has no New Zealand office.

Viagogo was the commission’s most complained-about trader last year, with more than 550 complaints.

There have been three complaints against StubHub since 2017, a spokesman for the commission said.

The purchase of StubHub brings the company full circle.

The company was also temporarily suspended from advertising on Google for breaching the search engine’s rules. The suspension has since been lifted.

Viagogo’s founder and

chief executive Eric Baker, also cofounded StubHub while in business school but left before the business was sold to eBay for US$310m in 2007. Baker went on to create Viagogo in 2006.

Baker said the purchase would increase Viagogo’s presence in countries such as the United States, where Viagogo has struggled to gain a foothold.

‘‘Buyers will have a wider choice of tickets, and sellers will have a wider network of buyers. Bringing these two companies together creates a win-win for fans – more choice and better

People have shown up to events only to find their tickets bought on Viagogo were invalid.

pricing,’’ Baker said. ‘‘It has long been my wish to unite the two companies. I am so proud of how StubHub has grown over the years and excited about the possibilities for our shared future.’’