(Yicai Global) July 30 -- Technology investment firm Kunlun Tech has managed to quell US government concerns about its purchase of Grindr, the world's largest online gay dating app, and has revived plans to list the networking platform. Kunlun's shares gained.

The Chinese firm was preparing last year to take Grindr public when the Committee on Foreign Investment in the United States ordered it to sell its stake in the app because of national security concerns. Following talks, the committee no longer has objections, the Beijing-based company said in a statement yesterday.

The CFIUS is a cross-departmental organization made up of representatives of the Departments of the Treasury and Defense and others who review mergers and acquisitions that result in foreign control of American firms. In recent years, it has rejected some Chinese investors on national security grounds.

Shares of Kunlun Tech [SHE:300418] closed 5 percent higher today at CNY13.33 (USD1.94) each. The benchmark Shenzhen Composite Index gained 0.5 percent.

The listing of Grindr overseas will not have a significant impact on Kunlun Tech's performance and continued profitability, the company added. Rather, it will allow for the establishment of an independent direct financing platform that can provide steady financial support for the app's business expansion and long-term development. Grindr's income accounted for 16 percent of Kunlun Tech's revenue last year.

Grindr is one of the world's largest social networking platforms for lesbians, gays, bisexuals, and transgender people. It had more than 40 million registered users in 196 countries and over 8 million monthly active users in February last year, mainly in developed countries and regions in Europe and America. Almost 30 percent of its users are from the US, public information shows.

Kunlun Tech paid around USD93 million for a 61.5 percent stake in Grindr via its subsidiary Kunlun Group in early 2016. It invested a further USD152 million in July 2017 to purchase the remainder of the firm.