Exclusive: informed U.S. Security in danger, Chinese company seeks to offer Grindr dating application

January 7, 2021sudy mobile site

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The Committee on Foreign Investment in the us (CFIUS) has informed Kunlun that its ownership of western Hollywood, California-based Grindr takes its security that is national, the 2 sources stated.

CFIUS’ concerns that are specific whether any effort ended up being meant to mitigate them could not be discovered. The usa happens to be app that is increasingly scrutinizing throughout the safety of individual information they handle, particularly when some of it involves U.S. Military or intelligence workers.

Kunlun had stated last August it absolutely was finding your way through a short offering that is publicIPO) of Grindr. Because of CFIUS’ intervention, Kunlun has now shifted its focus to an auction process to market Grindr outright, considering that the IPO could have held Grindr under Kunlun’s control for a longer time period, the sources stated.

Grindr has employed investment bank Cowen Inc to take care of the purchase procedure, and it is acquisition that is soliciting from U.S. Investment businesses, in addition to Grindr’s rivals, based on the sources.

The growth represents a uncommon, high-profile exemplory case of CFIUS undoing a purchase who has been already finished. Kunlun took over Grindr through two deals that are separate 2016 and 2018 without publishing the purchase for CFIUS review, in line with the sources, rendering it susceptible to this kind of intervention.

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