OnlyFans in talks to sell majority stake at $5.5B valuation
What's the story
OnlyFans, the popular adult creator platform, is reportedly in talks to sell a majority stake to investment firm Architect Capital. The deal would value the company at $5.5 billion, with $3.5 billion in equity and $2 billion in debt. If finalized under these terms, Architect Capital would acquire a 60% ownership of the business.
Negotiation status
Deal not yet finalized
The negotiations are currently in an exclusivity period, meaning OnlyFans can't talk to other potential buyers for a certain time. However, it's not clear when the deal will be finalized. This isn't the first time OnlyFans has considered selling its business. Last year, site owner Leonid Radvinsky was said to be looking for buyers. The platform's parent company Fenix International Ltd, was also in talks with a US-based investor group led by Forest Road Company.
Profile
More about Architect Capital
Architect Capital, the potential business partner in this deal, was founded in 2021 as an asset-based lender. The firm provides loans secured by company assets and seeks to partner with early-stage start-ups. Despite hosting large number of adult content creators, OnlyFans insists that it is not a pornography website. The platform was launched in 2016 by Tim Stokely who also served as CEO, until he sold a majority stake of the site's parent company Fenix International to Radvinsky in 2018.