Jun 2, 2022 - Economy

SeatGeek's SPAC sadness

Dan Primack

A paper ticket goes through a shredder. — Illustration: Aïda Amer/Axios

RedBall Acquisition Corp., a SPAC formed by pro sports executive Billy Beane and private equity investor Gerry Cardinale, terminated its planned purchase of ticket marketplace SeatGeek, which would have been valued at $1.35 billion.

Why it matters: This is the latest in a swelling spate of collapsed SPAC mergers, including Forbes earlier this week. And it comes just one month after SeatGeek reported record revenue and said that the deal was set to close by the end of June.

Details: The merger had included a $100 million PIPE from existing SeatGeek backer Accel, plus Ryan Smith and Kevin Durant's Thirty Five Ventures.

RedBall, which previously tried to buy a minority stake in the parent company of the Boston Red Sox and Liverpool FC, now has until August to find and close a deal.

Cap table: New York-based SeatGeek has raised nearly $300 million from firms like Accel, Glynn Capital Management Causeway Media Partners, Haystack Partners, Elysian Park Ventures, Mousse Partners, Foundry Group, TCV, Upstage Ventures and Rho Ventures.

The bottom line: SPAC has become a four-letter word.

Add Axios on Google

SeatGeek's SPAC sadness

What to read next