(Reuters) -Grindr on Tuesday confirmed that its board had received a letter from shareholders Ray Zage and James Lu stating an interest in exploring the possibility of taking the dating app private. Shares of the company were up about 3% in after-hours trading. The board has established a “special committee comprised of disinterested and independent […]
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Dating app Grindr confirms receiving go-private interest from shareholders
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(Reuters) -Grindr on Tuesday confirmed that its board had received a letter from shareholders Ray Zage and James Lu stating an interest in exploring the possibility of taking the dating app private.
Shares of the company were up about 3% in after-hours trading.
The board has established a “special committee comprised of disinterested and independent directors in the event that a definitive, bona fide proposal, including committed financing, is presented to the company for evaluation,” Grindr said.
Semafor reported on Monday that Zage, a board member, and Lu, the chair of the board, are in talks to secure debt financing from Fortress Investment Group to acquire Grindr and that a buyout price of around $15 per share was discussed.
Grindr was formerly owned by Beijing Kunlun Tech, which sold it to San Vicente Acquisition LLC for more than $600 million in 2020 after the Committee on Foreign Investment in the U.S. raised national security concerns.
(Reporting by Harshita Mary Varghese in Bengaluru; Editing by Shreya Biswas)