Match Group purchased 51% of Hinge
Match Group (MTCH), which owns a number of dating apps and websites, including Tinder, announced on June 20 that it had acquired a 51% stake in Millennial-focused dating app Hinge. Match Group also has the right to acquire all of Hinge’s shares in the next 12 months.
According to Hinge, its app’s user base increased by a whopping 400% after it redesigned the app last year, removing the Tinder-like right swipe and adding more detailed profiles.
How Hinge has differentiated itself from Tinder
These changes positioned Hinge as a “relationship” app, which focuses on building long-term relationships, rather than a “hookup” app such as Tinder, which probably led to the surge in users. The acquisition will diversify Match’s matchmaking offerings.
Back in May, after Facebook (FB) announced that it would be launching a dating feature, Match Group stock fell nearly 27% given Facebook’s massive user base. With that said, the company’s stock is still up 29.4% year-to-date.
Apart from Tinder, Match Group also owns OkCupid, Match.com, Meetic, and OurTime.com. In the first quarter, the company generated revenue of $407.4 million, rising 36.4% compared to the same quarter last year. In the whole of 2017, the company made $1.6 billion in revenue.