DALLAS, Feb. 4 /PRNewswire/ -- Match.com, an operating business of IAC (Nasdaq: IACI), and Meetic, two leading online dating companies, announced today that they have partnered to better reach singles across Latin America.
Match.com and Meetic will each own 50 percent of the joint venture's equity, and Match.com will control the new entity's operations. Match.com will pay Meetic $3 million in cash at the closing, which is expected by March 15, 2010. Meetic's participation in this new entity is subject to put-and-call rights that can be triggered beginning in the fourth year, when Match could purchase Meetic's stake at fair market value. An additional payment of $1.5 million could be triggered at that time.
"The Latin American online dating market is less mature than those in North America and Europe, but we are confident that it will expand meaningfully over the next few years," said Greg Blatt, CEO, Match.com. "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 potential of the market in Latin America led us to envisage the best possible combination between ParPerfeito in Brazil and Match.com across the rest of Latin America," said Marc Simoncini, chairman and CEO, Meetic. "The pooling of our entities is the most efficient way to be able to fully benefit from the substantial growth potential this region offers. The quality of our relationship during the integration of Match.com's European activities makes us totally confident that we will achieve our development plans."
IAC operates more than 50 leading and diversified Internet businesses across 30 countries ... our mission is to harness the power of interactivity to make daily life easier and more productive for people all over the world. To view a full list of the companies of IAC please visit our website at http://iac.com/.
Match.com pioneered online personals when it launched on the Web in 1995 and continues to lead this exciting and evolving category after more than a decade. Throughout its 14-year history, Match.com has helped redefine the way people meet and fall in love. Match.com provides a rich tapestry of ethnicities, interests, goals, ambitions, quirks, looks and personalities from which to choose. Match.com operates some of the leading subscription-based online dating sites in 25 countries, in eight languages and spanning five continents, as well as oversees its ongoing investment in Meetic. Match.com also powers online dating on MSN across Asia, Australia, the United States and Latin America. Match.com is an operating business of IAC.
Meetic manages two services in Europe: online dating and matchmaking, mainly under the meetic and Meetic Affinity brands, and markets two highly complementary economic models on the dating market, one based on internet use, the other on mobile phones. By acquiring the European activities of world leader Match.com in June 2009, Meetic has strengthened its first place on the continent. The group is currently established in 16 European countries, as well as in Latin America, and is available in 13 languages. From inception, the group has pursued a clear leadership strategy focusing on quality, innovative marketing and perfect technological expertise. Meetic works hard to optimize service quality and to satisfy every possible expectation of its European subscribers. In 2008, Meetic posted sales of euro 133.6 million and an EBIT of euro 12.5 million.