StubHub Eric Baker hedge fund ties draw questions from Congress
Rep. Robert Garcia asked StubHub CEO Eric Baker to explain his ties to Andro Capital, a fund that resells tickets on the platform.
By Hana Yoshida · Markets Reporter
3 min read
StubHub Eric Baker hedge fund ties are drawing new attention in Washington after Rep. Robert Garcia asked the ticket marketplace’s chief executive to explain his relationship with businesses that resell tickets on the site. The questions matter because StubHub is already facing legal and regulatory pressure over its ticketing practices, including disputes tied to World Cup resale orders, according to Fortune.
Garcia, a California Democrat and ranking member of the House Committee on Oversight and Government Reform, sent Baker a letter Friday seeking information about what Garcia called a “secret hedge fund” and related companies. In the letter, Garcia asked whether Baker had “manipulated markets for your own benefit, while Americans are left paying higher costs in an unfair system,” Fortune reported.
Fortune said StubHub did not respond to a request for comment over the weekend. The company has maintained that it operates as a marketplace, does not own or sell tickets itself, and earns money from transaction fees, according to Fortune.
What is Andro Capital and why is StubHub under scrutiny?
Andro Capital is a fund connected to Baker that buys tickets in bulk and resells them on StubHub, according to Fortune’s account of StubHub’s SEC filing. The concern raised by Garcia is whether the head of a resale marketplace may also be profiting through a ticket-resale business that uses that same marketplace.
In a prospectus filed ahead of StubHub’s planned public listing last fall, the company disclosed that Baker is managing director of Andro Capital, Fortune reported. The filing also said one million sellers sold 40 million tickets through StubHub in 2024.
Fortune, citing the S-1 filing, reported that StubHub pays fees to Andro for help selling and servicing ticket inventory. The filing also said StubHub refers some resellers to an Andro affiliate that provides financing for bulk ticket sales, according to Fortune.
A CBC investigation highlighted the disclosures as StubHub faced anger over World Cup tickets that were later canceled. Fortune reported that StubHub has not disclosed the total number of canceled World Cup tickets, while describing the figure as hundreds and possibly thousands.
What other pressure is StubHub facing?
Fortune reported that StubHub faces class-action lawsuits and investigations related to the sale of World Cup tickets that did not exist. The company also has been fined for deceptive pricing by the Federal Trade Commission, according to Fortune.
The scrutiny adds to long-running criticism of resale platforms, which let buyers and sellers exchange tickets after initial sales. Critics argue that such marketplaces can make it easier for bulk resellers to acquire sought-after tickets and resell them at higher prices, while the companies say they provide a venue for transactions between users.
Garcia’s letter puts Baker’s disclosed business interests at the center of a broader question about conflicts in online ticket resale. For StubHub, the issue now extends beyond customer frustration and canceled orders to whether Congress will press the company for more details about how its CEO’s outside ticketing interests work.
This story draws on original reporting from Fortune.