Meetic

Meetic announced on December 21st, 2012 that they had acquired Massive Media. Massive Media owns Twoo a popular social discovery service and the social network Netlog. Twoo.com was launched in April of 2011 and in under 2 years now receives 9.6 million unique visitors a month. Twoo's main competition in Europe according to information available is Badoo.

Meetic purchased Massive Media for $25 million USD (18.9 Euros) and interestingly enough is mostly owned themselves by IAC, which owns Match.com.

To find out more about this story you can read the press release.

The owners of Match.com, IAC announced plans on May 30, 2011 to buy all outstanding shares of Meetic for 15 euros a share. IAC currently owns 27 percent of Meetic already through a deal where the sold their European business to Meetic in early 2009 (see Story).

Meetic is valued at 347 million euros which works out to about $497 million in USD. The share offer by IAC is about 12 percent higher than the closing price last Friday. Since then trading has been suspended at Meetic's request.

Meetic's co-founder Marc Simoncini has entered into an agreement with IAC to sell about 3.7 million shares which works out to about 7% of the total outstanding shares. He also still plans to remain on Meetic's board of directors.

To find out about IAC's most popular dating site you can read our Match.com review.

Back in February of 2009 Match.com sold its European Operations to Meetic. Well according to Informatica, a independent provider of data integration software, they completed the post-merger integration of Match.com in Europe with Meetic 40 percent faster than by using a home grown solution. It took only 4 months on the Informatica Platform.

The data, which required integration from Match.com in Texas (Orcale Databases) to Meetic in Paris, included millions of profiles from 15 countries. Photos from the profiles as well as all messages were migrated over as well. All this integration was done seamlessly and without interruption to any online services.

To find out about the dating site, you can read our Match.com UK review.

Match.com and Meetic have created an equal partnership together in Latin America where the two dating companies will be combining their resources. According to the CEO of Match.com, Greg Blatt:

By combining ParPerfeito's strength in the Brazilian market with Match.com's presence in the rest of Latin America, we believe we're best positioned to drive that expansion and create an asset of meaningful value. We're confident from our work together in Europe that further partnering with Meetic will be a productive experience.

The online dating market is less mature in Latin American than the larger North America and Europe markets. By making a combined push now both companies feel that they will come out ahead in this merging dating market. Match.com will control the new entity's operations and will pay Meetic $3 million in cash at the closing (March 15, 2010). I am not sure what Meetic's responsibility in all this is but, I will assume that they must be required to push traffic to the new venture. At the beginning of the fourth year of operations Match.com has reserved the right to buy Meetic's share of the entity at fair market value.

When we receive more news about this new entity (like the name of the website) we will be sure to pass it on.

For more on the story read the press release.

On November 9th Meetic released the financial results for the first 9 months of 2009. Revenue earned during this period totalled 117.2 million Euros (over $174 million USD). This is a 20 percent increase over the same period last year. From this income, the purchase of Match.com's UK site this year added 19 million Euros in revenue. 96 percent of all revenue was from sources in Europe.

Meetic's dating sites subscriber base totalled 970,623 as of September 30th, 2009. This is an increase of about 25,000 subscribers from the same date in 2008. No mention of Match.com's UK site is here so it is unsure if their subscriber numbers have been included in the Meetic 2009 numbers. We estimated that Match.com UK had about 291,000 paying subscribers as of quarter 2, 2009, at the time of the sale (see Story).

Earnings Before Interest, Taxes and Amortization (EBITDA) came to 24.1 million Euros over the first 9 months. This is an EBITDA margin of 20.5 percent. As of September 30th, 2009 Meetic had a net cash surplus of 41 million Euros and the only debt on the books was from the Match acquisition which is estimated at €7.1 million.

Expect the quarter 4 2009 financials and annual revenue for Meetic to be published on the 11th of February 2010.

News first spotted on OPW. For more information, read the full Meetic Q3 2009 Financial report.

On June 5th, 2009, IAC completed the deal previously announced in early May with Meetic (see Story). IAC sold Match.com European operations for 27 percent equity stake in Meetic along with a 5 million Euro promissory note.