Queer “dating” app, Grindr plans to go public in a merger deal that would value the company at $2.1 billion.

According to the U.S. Securities and Exchange Commission, Tiga Acquisition Corporation, a special purpose acquisition company (SPAC) will raise $384 million. Much of that will go to pay off Grindr’s debt.

Tiga Acquisition Corporation has said in a statement that the funds will go towards, “supporting growth areas, launching new endeavours and continuing our purposeful work to advance the best interests of the global queer community.”

In 2020, according to Reuters, the app was valued at $620 million when it was sold by Beijing Kunlun Tech after the Committee on Foreign Investment in the United States (CFIUS) ordered the Chinese gaming group to divest the company, over national security and privacy fears. Beijing Kunlun Tech owned Grindr since 2016.

World Largest Dating App Gay/Bi/Trans/Queer People

Image: Facebook

Grindr, which describes itself as “the world’s largest social networking app for gay, bi, trans, and queer people,” had, according to Financial Times, 10.8 million users; 723,000 of which are paying subscribers. Subscriptions make up the majority of the company’s income.

According to Grindr, each user spents an average of 61-minutes daily on the app per December 2021 figures.  Around 80% of profiles are 35 years old or younger. The app is also a highly profitable business delivering $147 million in non-GAAP revenue in 2021 – a 30%  year or year growth.

“Grindr is the leading platform focused on the LGBTQ+ community for digital connection and engagement. We have a near ubiquitous global brand in the community we serve, impressive scale, best-in-class user engagement metrics and adjusted EBITDA margin, and we’re still just beginning our monetization and growth journey,” Jeff Bonforte, Chief Executive Officer of Grindr said in a statement.

“Grindr is well positioned to be a public company and will continue to expand the ways it serves the LGBTQ+ community, from products, services to the philanthropic and advocacy work done through Grindr 4 Equality.”

Some of Grindr’s main competitors include Tinder, Hinge, and Bumble. 

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