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Nation Live (NYSE: LIE) fell 8.5% in after-hours exchanges amid reports that the Justice Department is preparing to file an antitrust lawsuit against the concert promoter as early as next month.
The regulator is expected to say that Live Nation (LYV) exploited its dominant position in an issue that weakened competition in the sale of tickets for live events, according to a WSJ report on Monday, citing people familiar with the matter. The specific charges the Justice Department is expected to bring were not known.
Several state attorneys general are also involved in the investigation and may decide to join the Justice Department in its lawsuit, according to a separate report from Bloomberg on Monday.
“Ticketmaster has more competition today than it has ever had, and the terms of the agreement with the venues show that it has nothing close to monopoly power,” a Ticketmaster spokesperson told the WSJ.
A potential lawsuit comes after a Politico report in late July that the Justice Department was preparing to file a lawsuit against Live Nation (LYV) by the end of last year.
A Justice Department order barring Live Nation from threatening venues with the loss of tour access was extended to 2025 after the Justice Department found repeated violations of that provision from 2010 to 2019.