Badoo To Splurge $100 Million On Dating Apps
|Bumble founder and CEO Whitney Wolfe Herd. Badoo holds a major — 79% — stake in Bumble.
Photograph by Fortune Most Powerful Women
Badoo — a popular dating service whose holding company also controls a 79% stake in female focused dating app Bumble — has said it would overhaul its holding structure and spend $100 million on dating apps under its holdings. The company has set up a new holding company — named Magic Lab — that’ll serve as parent for its brands, which include dating apps Badoo, Lumen and Chappy.
This move is likely being made to hold strong against competition from Match Group’s Tinder and also Facebook, which rolled out a dating feature to 14 more countries roughly one month ago.
Badoo is undoubtedly a leader in online dating, with more than 400 million users. The company is said to be weighing an IPO and has also been reported to be shopping Bumble, for a price tag hovering around $1.5 billion.
Badoo made an official announcement of its planned investment on Friday.