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Cyber love just gave birth to a billion dollar baby

They say money can’t buy love, but with three of the world’s most popular dating sites soon to be floated on the stock exchange, investors will be able to do just that.

Match.com, Tinder and OkCupid, which are part of the overarching company The Match Group, will launch an initial public offering (IPO) later this year.

After the IPO, investors will be able to buy stock in the company.

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IAC/InteractiveCorp (which The Match Group is part of) chairman Greg Blatt said the the US stock market was ready for online dating.

“The dating industry has come a long way since its inception, but the category remains underpenetrated,” Mr Blatt said in a statement.

kerr-phone2“We want to take the step of offering the the public the ability to own shares directly in this singular area of internet activity.

“We believe the combination of our more established businesses such as Match, Meetic, and OurTime, and earlier stage businesses such as Tinder and OkCupid, creates an attractive combination of significant cash flow generation, strong margins and meaningful growth potential.”

About 20 per cent of Match.com will be sold in the flotation which the company expects to happen in the final quarter of the year.

The dating sites are already a powerful combination.

Their revenues of all the companies in the new Match Group accounted for nearly one third of IAC’s overall revenue in the most recent quarter, the IAC website reported.

They’re also growing rapidly, surging 13 per cent year-over-year in the most recent quarter to about $239 million.

However, online dating services haven’t always proven to be the best match for Wall Street.

Zoosk, an online dating platform, pulled its IPO plans earlier this year. AshleyMadison, an Internet dating site for infidelity, forfeited an IPO in 2011, but was now planning a do-over for later this year, fueled in part by seeing investor appetite for newer services like Tinder and Snapchat, Mashable reported.

Match and OkCupid were both founded more than a decade ago and rank among the flagships of the online dating industry.

Tinder, built within IAC in 2012, recently introduced a premium option to begin making money with one analyst predicting Tinder’s valuation could top $1 billion this year, MarketWatch reported.

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