Market Overview

IAC Reportedly Buying 10% of Tinder for $500M

Related IACI
Morning Market Movers
IAC Appoints Bonnie Hammer To Board of Directors
Supreme Court Rules Aereo Violates Copyright Laws (Fox Business)

According to Bloomberg, IAC (NASDAQ: IACI) is buying more shares of Tinder, which puts the mobile-dating site's valuation at $5 billion.

Shares of IAC jumped nearly six percent when news of this hit the Street, but then settled back then following a news report from Forbes. Shares of IAC closed up $0.45 per share.

A couple of hours later Forbes came out saying that the $5 billion valuation was “not accurate – not remotely.” As soon as this hit, shares plummeted from the daily high. The rumor was based off of Chamath Palihapitiya's stake in the company, who reportedly sold his share to IAC, which put the valuation of the company at $5 billion. Chamath later came out and revealed:

Tinder is currently 20 months old, with reportedly no revenues. With this valuation, Tinder would almost be worth as much as IAC. IAC currently has a market capitalization of $5.7 billion.

Posted-In: TinderNews

 

Related Articles (IACI)

Around the Web, We're Loving...

Partner Network

Get Benzinga's Newsletters

Benzinga Professional