Transaction Summary

  • On 8 November 2019, MagicLab, which builds and operates leading social apps including Bumble and Badoo, announced the acquisition of a 79% stake by investment firm Blackstone
    • The transaction values the company at approximately $3 billion
  • Blackstone plans to take MagicLab to the next level from its active involvement over the coming years, developing the company’s suite of brands to remain at the forefront of social networking

Overview of MagicLab

  • Founded in 2006, MagicLab helped revolutionise how people meet in the mobile age – having transformed the lives of over 500 million people across dating, social, and business
  • MagicLab builds, owns, and operates a portfolio of mission driven brands:
    • Badoo (2006) was a pioneer in mobile dating introducing a freemium concept to the masses
    • Bumble (2014) empowers women to make the first move and now has 55 million users
    • Chappy (2017) and Lumen (2018) target markets in gay and over 50s dating
  • A common foundation of technology and experience has accelerated their long-term growth
  • The company was founded by serial entrepreneur Andrey Andreev (CEO) and currently has offices in London (UK), Austin (USA) and Moscow (Russia)
    • As part of the acquisition, Andrey will be selling his stake and stepping down from the business to be replaced as CEO by Whitney Wolfe Herd (Founder & CEO, Bumble)

NOAH Advisors’ Role

  • NOAH Advisors acted as financial advisor to MagicLab – supporting the team in developing a detailed operating model, various company presentations and introducing selected investors
  • MagicLab has been a close business relationship for a while, having presented at the NOAH Conference many times since their first on-stage appearance back in 2010
    • A recent fireside chat featuring Andrey and Whitney took place at NOAH London 2017
  • In addition, Marco Rodzynek (CEO, NOAH Advisors) was on the company’s Board for 5 years