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Momo buys Tantan, China’s Tinder, for over $600M as Chinese social networking sites consolidate

Momo buys Tantan, China’s Tinder, for over $600M as Chinese social networking sites consolidate

WeChat is far and away the messaging platform that is biggest in Asia at this time, and that’s assisting to drive a push on the list of smaller players to have together for better scale. Today, Momo, the Chinese location-based social network software who has recently made a huge push into dating services and it is exchanged on Nasdaq with an industry limit of around $6 billion, announced so it has obtained Tantan, China’s top dating app, for “approximately 5.3 million newly released Class the ordinary stocks associated with the business and US$600.9 million in cash”.

It is unclear exactly how that cost comes even close to Tantan’s pre-exit valuation: it had never disclosed the quantity. Overall, Tantan had raised $120 million, including a $70 million round last 12 months from a mixture of strategic and monetary investors. Its backers included DST worldwide, Kleiner Perkins, video clip social network YY, Genesis Capital, SAIF Asia, Zhongwei, DCM and Bertelsmann.

We’d actually heard rumors of the purchase recently, therefore it’s perhaps not coming being a complete surprise.

WeChat has in ways written the playbook in China for simple tips to leverage a favorite social platform to transfer to other related solutions (business being one of many biggies), plus it appears that would-be rivals are after suit. Other notable techniques and exits in recent years have actually included Alibaba buying Youku Tudou and in addition spending heavily in WeChat competitor Weibo; selfie-making app Meitu going public and Dianping that is meituan making transfer to transportation.