Momo Grants USD70 Million in Stock to Founders of Newly Acquired Tinder Clone
Dou Shicong
DATE:  May 29 2019
/ SOURCE:  yicai
Momo Grants USD70 Million in Stock to Founders of Newly Acquired Tinder Clone Momo Grants USD70 Million in Stock to Founders of Newly Acquired Tinder Clone

(Yicai Global) May 29 -- Momo has granted stock worth USD70 million to the founders of Tantan, a Chinese app strikingly similar to Tinder that the social media operator acquired last year.

The Beijing-based firm awarded 3.6 million share options to Tantan's founding group in August, according to Momo's first quarter report published yesterday. It had laid out certain undisclosed requirements for Tantan to meet and believes that the team fulfilled these criteria.

Momo acquired Tantan in February 2018 for USD760 million. Earlier this month, China's web watchdog ordered the pair, and Alibaba's DingTalk, to cleanse their apps of pornographic images uploaded by users and to prevent users from creating posts for one month.

Momo earned USD554.7 million in revenue during the first three months, up 35 percent from a year earlier, per its report. Net profit however plunged to USD43 million, less than a third of the USD130 million it made in the first quarter of 2018, largely due to share-based compensation including that issued to Tantan's founders.

Live streaming was its top revenue source, rising 14 percent to USD400.7 million to make up more than 70 percent of all income. Membership subscriptions and virtual gift services followed at USD134.7 million.

Editor: James Boynton

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Keywords:   Momo,Tantan