Vivid Seats has tapped long-time legal counsel Latham & Watkins amid organization by the troubled ticket reseller’s creditors, said two sources familiar with the matter.

An ad hoc group of lenders to the company recently engaged Gibson Dunn and Centerview as advisors, Debtwire reported in early February.

The listed Chicago-based company has been facing competitive pressures and performance declines. It USD 100m revolving credit facility matures in February 2027, providing a catalyst for a potential transaction, as reported.

Vivid Seats’ revenue fell 27% YoY for 3Q25 to USD 136m, while adjusted EBITDA dropped 85% to USD 4.9m, continuing trends from past quarters. Cash stood at USD 145.1m at the end of September, down from USD 243.5m at the end of 2024.  The company hasn’t announced a date for full year 2025 earnings but last year reported results in March.

Amid the decline, sources previously told Debtwire that the company should consider selling the business to another ticketing company.

Moody’s downgraded Vivid Seats in October to Caa1, warning that “intensifying competition in the secondary ticket marketplace” is expected to continue and will trigger worse credit metrics.

Stan Chia, who has been CEO since 2018, stepped down late last year and was replaced by CFO Lawrence Fey. Joseph Thomas was appointed as the new permanent CFO in January.

The issuer’s USD 393m SOFR+ 225bps first lien term loan due 2029 was last quoted 52/56 on Markit, down from par a year ago. The USD 100m SOFR+ 325bps revolver due 2027 has an implied quote of 51.3/55.3.

Shares are down over 90% in the last year, last trading at USD 7.4, giving the company a USD 78.9m market capitalization.

An Eldridge Industries-sponsored SPAC took Vivid Seats public in 2021. Eldridge and financial sponsor GTCR continue to hold large stakes in the company.

Latham & Watkins previously represented the company in several transactions, according to the law firm’s website.

Vivid Seats, Latham & Watkins, Eldridge and GTCR didn’t return requests for comment.