A takeover deal already dubbed “one of the worst in history” now looks set for a rigorous probe that could end up in it being blocked.
Toxic ticket company Viagogo agreed to pay eBay £3.2billion for rival secondary site StubHub.
The deal was sealed before the coronavirus lockdown sparked a crisis in the entertainment industry, causing a crash in many firms’ stock values.
A later announcement of a monopoly probe by the Competition and Markets Authority soured further a deal described as “buying the last ticket for the Titanic for $4billion” as Forbes magazine also branded the deal “the worst ever”.
The CMA has given Viagogo five days to propose measures to soothe monopoly fears or it will move to an in-depth phase two investigation, which could result in the deal being blocked.
The Daily Record has campaigned against ticket touts, most of which have operated hand in glove with Viagogo in ripping off ordinary music fans.
StubHub has also enraged consumer groups by its style of operations and its many breaches of UK consumer law.
CMA’s Andrea Gomes da Silva said: “We are concerned that this transaction could lead to customers losing out through higher prices, less innovation and a lack of real choice.”
Viagogo said: “We will continue to work with the CMA during their review of the transaction.”
