Business

Lyte CEO departed weeks before company shut down

Lyte’s chief executive and founder departed the business a number of weeks before the ticketing marketplace ceased activities late last week, multiple sources have told TheTicketingBusiness.

Antony Taylor (pictured) left his role, according to people familiar with developments, following disagreements between key figures at the top of the business over Lyte’s future direction.

Insiders say that Lyte’s workforce was notified that the company was ceasing activities and product development during an all-hands meeting last week. On Friday, access to company property was restricted for most employees.

The San Francisco-headquartered company has not made any formal statement about its status, but its website has now displayed an ‘undergoing scheduled maintenance’ note for some days. It is not selling tickets and there is no active presence to assist customers and clients.

Lyte, Taylor and several senior figures at the company have not responded to requests to comment from TheTicketingBusiness.

Signs of trouble

There are suggestions that the split that intensified in recent months concerned whether the company should be put up for sale. It is understood that Lyte could yet be resurrected if a buyer is found.

While employees were only notified at the end of last week, the ceasing of activities was not a surprise to many. Lyte has initiated several rounds of redundancies in recent times, with a significant portion of the product development team let go.

Another development that has raised eyebrows is that senior vice president (finance) Lisa Bashi having no mention of Lyte on her LinkedIn profile.

Festicket acquisition

Several insiders have attributed Lyte’s demise to mismanagement, evidenced in numerous negative Glassdoor reviews.

While there are accusations of poor recruitment at the top, more specifically there is a belief that the company made an error in acquiring Festicket’s assets after the UK-based ticket operator went into administration in 2022. One person familiar with the transaction described it as “the stupidest deal ever done”. Another said Lyte “went downhill pretty much” after the transaction completed.

Following the deal, Lyte became saddled with Festicket’s considerable debts and insiders claim it made a series of missteps in attempting to placate creditors. According to a filing by Festicket’s administrators to Companies House in 2022, Festicket owed 155 promoters just under £18.5m (€21.9m/$24.3m) when it collapsed. Creditors included AEG Presents, Event Horizon and Festco.

The Festicket deal was also seen to negatively impact Lyte’s business as it took on a new division with what was perceived by some to be inferior technology. Further, adding Festicket changed Lyte’s relationship with primary operators as it switched from a successful, innovative resale operator to a potential competitor.

One former employee said the reports that have emanated from Lyte in recent days resonate with their experience of working at the company and their decision to depart.

They described “concerns about certain attitudes, behaviours and decision-making” which led to “a loss of faith in the viability of the business”.

TheTicketingBusiness expressed concerns about Festicket’s business model as far back as 2019 – some three years before its assets were acquired by Lyte.

Fears among workforce

There is said to be concern among employees over severance and departure terms. As of Tuesday, some claim to be in the dark over what they will receive.

Lyte clients are now attempting to ensure that their customers are not impacted by the company’s problems. Lost Lands Festivals, which is taking place this week in Ohio, has been actively assisting those with queries about resale.

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