Match Group prepares for an initial public offering and intends to earn a valuation of around $3.1 billion from that decision.
Known as the leading provider of dating products in the world, Match Group owns more than 45 brands and operates in over 190 countries with 38 languages involved. These include brands such as Tinder, OKCupid, FriendScout24, BlackPeopleMeet, OurTime, Plentyoffish, Twoo and Meetic.
Match Group plans to earn as much as $466.2 million in its IPO venture.
In a regulatory filing made on Monday, parent company InterActiveCorp (IAC) announced that it intends to sell 33.3 million shares with each piece priced between $12 and $14. Likewise, the company is giving 30 days for underwriters in buying an additional five million shares with the price set at IPO.
Match Group belongs to one of the four segments that are part of the IAC organization. Apart from dating, the group also includes education businesses. The other three segments are known as: Search & Applications (Investopedia, Dictionary.com, Ask.com, About.com); Media (CollegeHumor, The Daily Beast, Electus, Vimeo) and eCommerce (ShoeBuy and HomeAdvisor).
Brands and products from IAC are considered as the most recognized names in the world with users found in more than 200 countries. The American media and Internet company has offices worldwide though its headquarter is located in New York City.
Barry Diller, IAC chairman and senior executive, had successfully used the strategy of building large-scale by way of acquiring a lineup of brands and then spinning them off under the umbrella of Match.
"Match Group is offering 33.3 million shares of its common stock in the IPO," states the press release. "The underwriters will have a 30-day option to buy an additional 5 million shares at the IPO price, less underwriting discounts and commissions. The IPO price is currently expected to be between $12.00 and $14.00 per share. Match Group has applied to have its shares of common stock approved for listing on the NASDAQ Global Select Stock Market under the ticker symbol "MTCH."
Match Group intends to use the proceeds from the IPO in paying off the debt it owes to IAC. Other plans include making future acquisitions, generating more revenue from advertising, and developing its mobile business. The company noted that during the first half of the year, 68 percent of new subscriptions were made through mobile devices.
The company currently has 59 million monthly active users, wherein 4.7 million are seen as paid members. Revenues earned in the 12 months that ended on June 30 were calculated to have reached $1 billion.