Tiga Acquisition Corp is a special-purpose acquisition company and is slated to go public via a merger with Grindr.
The combined company is worth more than $2 billion. The company plans to use the $384 million raised by the merger to pay down debt and fund growth.
The company said in its announcement that it is profitable and saw a 31.5% increase in paying users. It said that 80% of user profiles are 35 years or younger.
Raymond Zage, Chairman and CEO of Tiga, said thatGrindr has established itself as the primary social network for people who are gay, enabling meaningful expansion of its monetization within a continuously growing market.
The dating app said existing shareholders would own 80% of the company after the merger.
Beijing Kunlun Tech acquired the majority of the dating app in 2016 and the rest of the shares in the following year. The Committee on Foreign Investment in the United States labeled Beijing Kunlun's ownership of Grindr a national security risk. San Francisco-based San Vicente Acquisition Partners bought the Chinese company for $620 million in 2020.
Tiga shares are up in after-hours trade.
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