Grindr, a geosocial networking and dating app for members of the LGBTQ+ community, is officially entering the public sector. The company announced Monday its definitive agreement to merge with Tiga Acquisition Corp., a special purpose acquisition company (SPAC). Upon completing the merger, Grindr expects to raise $384 million, all of which will go toward continuing its work to support the worldwide queer community.
The capital raise will consist of $284 million of Tiga Acquisition Corp.’s cash in trust as well as up to $100 million in a forward purchase agreement, according to the company. These funds will further serve members of Grindr’s LGBTQ+ community with its core product, as well as support growth areas and launch new endeavors. Once the merger goes through, the combined company, Grindr Inc., will have an estimated post-transaction enterprise value of $2.1 billion.
Based in West Hollywood, Grindr was built to be an ecosystem to enable gay, bisexual, transgender and queer people to connect with one another, express themselves and discover the world around them, according to the company.
With 10.8 million monthly active users across the globe last year, the mobile app has seen notable growth recently. In 2021, Grindr also earned $147 million in revenue, a 30 percent year-over-year increase.
“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 … and we’re still just beginning our monetization and growth journey,” Jeff Bonforte, CEO 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 [and] services to the philanthropic and advocacy work done through Grindr 4 Equality.”
The Grindr 4 Equality (G4E) organization was launched in 2012 to promote safety, health and human rights for members of the queer community across the globe, a timely initiave amid ongoing stateside political debates surrounding transgender rights. G4E makes use of Gridr’s global reach to empower local LGBTQ+ activists and spread information to app users.
The merger will help Grindr create a more formal, independent governance and financial structure around G4E, according to the company. It hopes to accelerate donations and its efforts to help the community alongside LGBTQ+ advocacy organizations worldwide.
