Dallas-based dating app company Match Group is separating from its parent IAC and will be its own publicly-traded business. Match Group has a market capitalization of $30 billion and is the largest business to break away from IAC.
IAC was founded 25 years ago by Barry Diller as a series of television stations called Silver King Communications worth $250 million and has grown into 10 separate publicly-traded businesses now worth $60 billion. Match Group’s independence will improve flexibility and trading liquidity. Since its initial public offering in 2015, Match has doubled subscribers and revenue, with flagship product Tinder as the highest-grossing non-gaming app in the world.
Earlier this year, Shar Dubey was named CEO of Match Group after Mandy Ginsburg stepped down with 15 years of experience at the company.
“This is a momentous occasion for Match Group, as we are the largest IAC success story to date,” said Dubey. “Our team is phenomenal, and we are ready to continue growing our businesses, investing in new bets, and expanding our footprint in new markets. We have a proven track record here, and we look forward to taking it to the next level.”
The separation also involves a leadership change, with Mark Stein and Gregg Winiarski stepping down from the Match Group board. The company has four new board members: ExecOnline CEO Stephen Bailey, the NBA’s executive president for digital media Melissa Brenner, investor and entrepreneur Wendi Murdoch, and actor Ryan Reynolds.
“Most millennials and Gen Z can’t remember what dating was like before the advent of Tinder, OkCupid, and Hinge,” said Reynolds. “These brands have enormous responsibility and opportunities to affect societies, all while embracing new technologies and remaining at the forefront of pop culture. I’m ready to roll up my sleeves and work with the team on their future growth and success.”
Dubey will continue to serve as Match Group’s CEO.
“I’ve gotten to know Stephen, Melissa, Wendi, and Ryan and all four bring extensive expertise across consumer tech, marketing, investing, and emerging markets, which are critical components to the long-term growth of our portfolio,” Dubey said. “We will be greatly served by their experiences and insights, and I’m looking forward to working with each of them.”
Match Group is responsible for dating products Match, Meetic, OkCupid, Hinge, Pairs, PlentyOfFish, and OurTime as well as several other brands. The products are available in 40 languages all over the world.
“This is just the largest transaction at the core of our strategy throughout these 25 years,” said Diller, Chairman and Senior Executive of IAC. “Be opportunistic, be balance sheet conservative, build up enterprises, and when they deserve independence, let them have it. Be a conglomerate and an anti-conglomerate, a business model that has been unique to us.”