(Reuters) - IAC/InterActiveCorp is offloading its entire stake in Tinder-owner Match Group, the latest company to be spun off by internet billionaire Barry Diller.
IAC shareholders will receive a direct ownership interest in the new Match entity, proportionate to IAC’s current stake in Match Group.
Match Group shareholders will receive one share of the new Match and $3 per share in consideration, while IAC will receive $3 per share in cash.
Shares of Match Group were up nearly 3% in premarket trading.
IAC has a history of spinning off companies through complex deals, including travel site Expedia Group Inc and ticket booking site Ticketmaster.
“... Soon Match Group, as the seventh spin-off, will join an impressive group of IAC progeny collectively worth $58 billion today,” Diller said.
Match accounted for more than 43% of IAC’s third-quarter revenue of $1.25 billion.
Reporting by Munsif Vengattil in Bengaluru; Editing by Saumyadeb Chakrabarty