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Fosun makes a match with Baihe
Posted on Thursday, 05 July 2018 09:31
Fosun International is spending CNY 4.00 billion (USD 603.08 million) to acquire a 69.2 per cent stake in the Chinese online dating company formed from the acquisition of Jiayuan.com International by Baihe Network in 2015.
Baihe Jiayuan is a leading matchmaking-to-wedding services platform in the country with about 310.00 million registered users in total and about 200 brick-and-mortar centres covering 75 cities.
The website is slightly different to other online dating apps, which are geared more towards casual meetings and friendships, as it focuses on bringing together potential life partners.
Founder and chief executive Tian Fanjiang told Technode: “A primary part of Baihe’s business is covering the comprehensive process from matching to marriage, providing a one-stop-shop for love and marriage,
“In the future, the Baihe website will not only be a matching service provider, but also extend to all business areas related to love and marriage, including consulting, consumer services, financial services, and media offerings.”
This is in contrast to mobile-based social networking platforms Momo and Tantan – which, by the way, are hooking up via a USD 735.00 million deal – as they are designed for users interested in finding a boyfriend or girlfriend.
Baihe had total audited and net assets of CNY 3.34 billion and CNY 2.58 billion, respectively, as of 31st December 2017.
The platform operator narrowed pre-tax losses to CNY 12.00 million in the 12 months ending 31st December 2017 (FY 2016: CNY 113.90 million loss) and turned a net loss of CNY 113.90 million into a profit of CNY 65.50 million.
Fosun, through indirect wholly-owned subsidiary Fosun Venture Capital, will buy the entire share capital of Ningbo Meishan Bonded Area Yuanhong Investment, which in turn owns 69.2 per cent of Baihe, from Guo Guangchang.
Incidentally, Guo is the conglomerate’s own chairman and ultimate controlling shareholder with an indirect 71.7 per cent stake.
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