StubHub Faces Shareholder Class Action After Post-IPO Cash-Flow Disclosure

Overview

• Holzer & Holzer announced a shareholder class action against StubHub, and Robbins Geller identified the case as Salabaj v. StubHub Holdings, Inc. in the Southern District of New York.
• Robbins Geller says the suit targets alleged Securities Act violations tied to IPO offering documents, with a lead‑plaintiff deadline of January 23, 2026.
• The complaints and solicitations focus on claims that changes in the timing of payments to vendors significantly reduced free cash flow, rendering related disclosures misleading.
• StubHub reported third‑quarter 2025 free cash flow of negative $4.6 million versus positive $10.6 million a year earlier and disclosed net cash from operations of $3.8 million, down 69.3%, attributing the decline primarily to vendor payment timing.
• Following the November 13 disclosure, the stock fell 20.9% to $14.87 on November 14 and later traded as low as $10.31, nearly 56% below the $23.50 IPO price, as additional firms including Portnoy and Johnson Fistel solicited investors.