Grindr, a dating app aimed at the LGBTQIA+ community, has reached an agreement to go public through a merger with a blank check company (Spac), according to a document sent to the market.
The transaction with Tiga Acquisition will raise US$ 384 million (R$ 1.97 billion), guaranteeiThe company is worth US$2.1 billion (R$10.7 billion), including debt, according to the document.
The app was valued at US$620 million (R$3.18 billion) at the time of its sale by its Chinese parent.
G. Raymond Zage III, founder and CEO of Tiga, was a member of San Vicente, a consortium of investors that bought Grindr from Chinese company Kunlun Tech in 2020.
The amount to be raised from the deal between Grindr and Tiga involves US$ 284 million dollars (R$ 1.45 billion) from Tiga, plus up to US$ 100 million (R$ 513 million) from a contract referring to a purchase of participation in the future.
Tiga went public in November 2020 to raise US$240 million (R$1.23 billion), a few months after the sale of Grindr. Spac had until this month to reach an agreement on a potential merger target, after several extensions to its liquidation deadline.
A Spac, also known as a “blank check company,” typically sells shares on an exchange, puts the money in a trust account, and then looks for a company to buy. Shareholders can choose to redeem their shares in exchange for cash.
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