AAA Affinitas finds a Spark with merger deal

Affinitas finds a Spark with merger deal

Affinitas, a Germany-based online dating services provider backed by e-commerce holding group Rocket Internet, has agreed to a merger with niche-focused online dating portal operator Spark Networks.

The size of the transaction, which will be conducted entirely in stock, has not been revealed. Following the completion of the merger, Affinitas’ shareholders will own approximately 75% of shares and Spark’s stockholders will hold the remaining 25%.

The combined company will be dubbed Spark Networks and incorporated as a Societas Europaea that is based in Germany. The company will maintain US offices and a listing on the New York Stock Exchange.

Founded in 2008 by Rocket Internet, Affinitas operates three dating portals: EliteSingles, Attractive World and eDarling. It had raised an undisclosed amount of capital from investors also including publisher Mediengruppe Pressedruck and venture capital firms Holtzbrinck Ventures and IBB.

Online dating platform provider eHarmony also previously invested in Affinitas in 2010, but sold its shares back to the company in 2013.

Spark Networks oversees a portfolio of religion-oriented online dating platforms including JDate and ChristianMingle.

Jeronimo Folgueira, CEO of EliteSingles, will serve as chief executive of the merged company while Spark’s chief financial officer Robert O’Hare will continue in that role. Michael Schrezenmaier, managing director of EliteSingles, will take the chief operating officer role.

The merger is subject to approval by Spark’s shareholders and is expected to close in the fourth quarter of 2017. Folgueira said: “We have a clear vision of becoming the global leader in premium dating and this transaction is an important step towards that goal.

“By combining the market leader in religious dating with EliteSingles’ portfolio of strong brands, we will create a singular entity, well-positioned to benefit from increased scale and improved financial strength.

“Together, we will leverage the strengths of each company to provide an exceptional user experience and drive shareholder value.”

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