Tinder Owner Match Group Starts Trading Above $13 Per Share
The Match IPO raised 400 million for the group spun off of IAC/InterActiveCorp, a United States media and Internet giant chaired by former Fox chief executive Barry Diller.
The IPO will also help distinguish Match Group from IAC’s non-dating oriented portfolio companies, such as video website Vimeo and humor website College Humor. Square opened its IPO last night at $9 per share (significantly below its projected range of $11 to $13) and fell billion short of the valuation it held on the private market. Indeed, China’s Alibaba saw its share price slide after a historic IPO and initial excitement on its growth and correspondingly valuation pop-up. In the same period its adjusted EBITDA moved from $271.2 million to $273.4 million, while net profit grew from $126.6 million to $148.4 million.
Wall Street is smitten with IAC’s online dating sites
The stock was a hot item, pricing at $12 per share and closing up more than 20 percent. Internet dating is a very big business, but the hookup app Tinder is the piece that really has Wall Street excited.
The online dating industry is expected to see growth of 4.2 percent this year to $2.7 billion in revenue, according to IBIS World. That’s respectable, and twice the rate of growth for the general US economy.
Read more about: Barry Diller, IAC/INTERACTIVECORP, IPO, media, Sean Rad, Tinder