x

The latest industry news to your inbox.

    

I'd like to hear about marketing opportunities

    

I accept IQ Magazine's Terms and Conditions and Privacy Policy

news

Live Nation share price breaks $50 mark

The value of Live Nation Entertainment shares has hit a record high, as buzz builds in Wall Street over a rumoured merger with Liberty Media's SiriusXM

By IQ on 10 Jul 2018

Wall Street

The price of a single Live Nation share has risen above US$50 for the first time, amid speculation by Wall Street analysts that the concert giant could be the target of an acquisition by satellite radio provider SiriusXM.

Shares in Live Nation (LYV) have grown at a remarkable rate throughout 2017 and 2018, reaching $40 in August 2017 – just six months after passing the $30 mark – although the price dipped 13% earlier this year after a New York Times article claimed the company was being investigated by the US Department of Justice for alleged anti-competitive behaviour.

It has since rebounded from a six-month low of $36, bolstered by positive indications for 2018, a recent run of acquisitions and the potential for a SiriusXM takeover, suggests Citigroup analyst Jason Bazinet.

According to financial services company the Motley Fool, “the biggest driver of market buzz came from analyst firm Citigroup suggesting that Sirius XM Holdings might want to buy out Live Nation someday soon.”

Combining Live Nation/Ticketmaster and SiriusXM, says Bazinet, would create a “vertically integrated music titan”

SiriusXM parent company Liberty Media – which owns roughly a third of Live Nation – has been vocal about the synergies between combining Live Nation/Ticketmaster and SiriusXM, says Bazinet, which would create a “vertically integrated music titan”.

Additionally, he says, the merger would face fewer regulatory challenges than the joining together of Live Nation and Ticketmaster, as the companies operate in different sectors of the music business.

However, Sebastiano Petti, an analyst at JPMorgan, suggests a deal is unlikely, noting that Liberty has talked about synergies between the companies previously without launching an acquisition bid.

At press time, Live Nation’s share price stood at $49.82.

 


Get more stories like this in your inbox by signing up for IQ Index, IQ’s free email digest of essential live music industry news.

More news

Analyst: Live Nation–SiriusXM merger “inevit... According to BTIG's Brandon Ross, Greg Maffei's Liberty Media "would like a deal to happen" – although Amazon and Spotify are also believed to be...waiting in the wings…
Live Nation confident of record 2018 after best-ev... After making history in Q3 2018, CEO Michael Rapino says it'll likely be another record-breaking 12 months for Live Nation
LN revenue up 7% in Q2, as SiriusXM rubbishes merg... AOI also rose 18%, in another strong quarter – though the likelihood of SiriusXM making a Live Nation bid is on par with Paul McCartney dying in the...’60s, says its CFO
Live Nation acquires majority stake in Emporium Pr... The great US indie roll-up continues as Live Nation buys 51% of Dan Steinberg and Jason Zink's Emporium Presents
AEG acquires leading US indie PromoWest Ohio-based PromoWest Productions, formerly the largest independent concert promoter in America's Midwest, will operate as a division of AEG Presents