Event Genius, which was acquired by the failing Festicket in 2019, has issued an update to its partners informing them that an agreement has been made with ticket exchange service Lyte to acquire certain assets.
Last month, Festicket filed a moratorium which typically means that struggling businesses are given formal breathing room to try and come up with a rescue plan.
The moratorium period was then ended by monitors as it was no longer likely to result in the rescue of the company.
Filings from Companies House said ‘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’.
Now, Event Genius has sent out an update to its partners on the situation and has confirmed that the existing business will be wound down.
In the update seen by TheTicketingBusiness, Event Genius said: “We can now tell you that an agreement has been made with Lyte for the sale of certain assets from the business, including the technology platforms and employee contracts. We are on a path to close this transaction on Monday 12 September.
“In parallel, we are in a process to wind down the existing business, which includes the appointment of an Administrator to determine what monies will be on-hand to pay out unsecured creditors and promoter obligations. You will be hearing more on that process from us soon.”
The update continued: “Going forward, Lyte will take over the operation and continue providing our end-to-end event management technology – while also offering their platform – to all of our partners. In addition, Lyte is preparing a proposal for new agreements with them which include plans to address what, if any, money you are owed by us.”
News outlet The Drinks Business also reported that North Brewing Co had been left devastated after Event Genius and Festicket entered the moratorium period, just before its flagship beer festival at the end of this month.
Co-founder of the North Brewing Co, John Gyngell, told The Drinks Business that the loss of ticket sales as a result of Event Genius collapsing has lost the company in excess of £25,000 ($29,000/€29,000).
Image: Yvette de Wit on Unsplash