Live Nation, Ticketmaster Merger Confirmed
February 10, 2009, 15 years ago
Ray Waddell from Billboard.biz is reporting:
The announcement the music industry has been waiting for has come: a definitive merger agreement between Live Nation and Ticketmaster to create Live Nation Entertainment.
The move combines Live Nation, the world's largest concert promotion firm, with Ticketmaster's industry dominating ticketing company, also bringing into the fold the numerous artist and venue relationships encompassed by both companies. The merger also scuttles one of the most well-known names in live entertainment in Ticketmaster.
The companies will be combined in a tax-free, all-stock merger of equals with a combined enterprise value of approximately $2.5 billion. Under the agreement, Ticketmaster shareholders will receive 1.384 shares of Live Nation common stock for each share of Ticketmaster they own, subject to certain adjustments defined within the agreement.
Live Nation and Ticketmaster shareholders will each own approximately 50% of the combined company. According to the announcement, the new company anticipates generating approximately $40 million of operating synergies through the combination of their ticketing, marketing, data centers and back-office functions. The merger agreement was approved by both companies' boards of directors.
Here are the canned quotes from three of the principles in the deal:
Read more here.
