Activist investor Elliott Investment Management is hoping to enforce change at Tinder and Hinge after building a roughly US$1 billion stake in owner Match Group (NASDAQ:MTCH).
As per the Wall Street Journal, Elliott wants to use its presence on the shareholder register to encourage improved performance at Match, where shares sit 80% down on highs seen during the pandemic.
Specific details on how well-known activist Elliott aims to reignite the stock are yet to be revealed, though the US$1 billion stake is said to have made Elliott one of Match’s largest shareholders.
Match has struggled for growth in recent years, with the introduction of paid features on its apps coinciding with a squeeze on consumer spending.
Fourth-quarter revenue was forecast by the company to come in short of expectations in October as a result.
"Our team regularly engages with investors, and will continue to work to create great experiences for our users and value for our shareholders," a Match spokesperson said.
Founded by billionaire Paul Singer, activist Elliott's focus has been on software companies in recent years, with stakes in PayPal, Salesforce and Pinterest, alongside activity in other sectors, including contract drug maker Catalent and Goodyear Tires.