Festicket board ‘to file for administration’
Festicket appears to be on the verge of administration after a moratorium filed by the festival discovery and booking platform came to an end.
The moratorium, which gives struggling businesses breathing space to explore rescue and restructuring options, free from creditor action, commenced on 17 August and was due to run until 15 September.
However, it was brought to an end on 30 August, according to Companies House documents, which state the moratorium was “no longer likely to result in the rescue of the company as a going concern”.
“The Board resolved on 29 August 2022 that the company should enter administration proceedings and that a notice of intention to appoint administrators be filed,” adds the filing.
London-headquartered Festicket also has offices in the US, the Netherlands, Germany, Portugal, France and Australia
A Festicket spokesperson tells IQ the company is unable to comment at present, while Chris Farrington and Ben Woodthorpe of London-based Resolve Advisory, who were appointed as insolvency practitioners, would only confirm: “We were Joint Monitors in a Company Moratorium that has ended.”
Founded in 2012 by Zack Sabban, Jerome Elfassy and Jonathan Youne, Festicket acquired Event Genius and the associated Ticket Arena consumer website and brand in 2019.
London-headquartered Festicket also has offices in the US, the Netherlands, Germany, Portugal, France and Australia. Its most recently available accounts published in July last year showed losses of €8,976,888 for 2020 and €12,934,107 for 2019.
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Festicket files moratorium
The future of festival discovery and booking platform Festicket is uncertain after the company filed for moratorium.
The course of action “gives struggling businesses formal breathing space in which to explore rescue and restructuring options, free from creditor action”.
A Companies House filing, listed today, shows the moratorium’s start date as 17 August, with Chris Farrington and Ben Woodthorpe of London-based Resolve Advisory appointed as insolvency practitioners.
A spokesperson for Festicket tells IQ they are not in a position to comment at this time.
The development was first reported by The Ticketing Business, which quotes an insider as saying “the company still has to pay its ongoing debts during the moratorium”, such as rent and employee liabilities.
“It is my understanding that the company directors are in exclusive negotiations with a third party, and this gives them some time (initially 20 days but this can be extended) to assess the situation and to potentially develop the plan for the company as a going concern,” adds the source.
“Unfortunately, for current clients and staff, the business may be considered beyond rescue.”
Festicket is the world’s largest platform for discovering and booking festival trips
Founded in 2012 by Zack Sabban, Jerome Elfassy and Jonathan Youne, Festicket acquired Event Genius and the associated Ticket Arena consumer website and brand in 2019. Former Treatwell COO Benjamin Leaver was named CEO in October last year, with Sabban assuming the role of president.
Alongside its London headquarters, Festicket also has offices in the US, the Netherlands, Germany, Portugal, France and Australia. Its most recently available accounts published in July last year showed losses of €8,976,888 for 2020 and €12,934,107 for 2019.
“Festicket has been through a planned investment phase with an aim to aggressively capture market share,” says the report. “It is still loss-making at this stage but has an agreed strategy with the board to deliver scale first and then profitability in the near team future.
“The plan to operate profitably is still management’s financial goal, despite the Covid-19 global pandemic altering revenue expectations in the industry downwards in 2021.”
UK-based music, travel and experiences start-up Pollen fell into administration earlier this month, just three months after raising US$150m in new funding.
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