OnlyFans Explores Selling Stock After Adult Content Lockdown Boom

OnlyFans, the online platform where sex workers, influencers and celebrities sell subscription content, is considering a sale of shares to new investors.

Documents filed with Companies House this week showed Fenix ​​International, the UK-based parent company of OnlyFans, had increased its number of shares from 100 to 1 million.

A person close to the company said management was discussing whether to “expand ownership”, adding that the revised capital structure gave it “the potential to do so.”

The British group’s popularity exploded during the lockdowns, dropping it from under 20 million users before Covid-19 hit more than 120 million, as annoyed consumers tune in for entertainment and unemployed performers were looking to generate money.

The platform allows content creators, from fitness instructors and musicians to erotica stars, to download and sell music videos, messages and articles directly to fans who pay between $ 5 and $ 50 per months, OnlyFans taking a 20% reduction in transactions.

In April, when OnlyFans revealed a seven-fold increase in deals to £ 1.7bn, chief executive Tim Stokely declined to say whether the company could be listed through an initial public offering or a sale to a company. ad hoc acquisition.

OnlyFans has been “approached frequently by people. . . including Spacs, ”the person familiar with the matter said on Wednesday, adding that the shareholders, including majority owner Leonid Radvinsky, an entrepreneur behind the MyFreeCams porn site, were not interested in selling the entire company. .

However, the current owners were planning to sell part of their stake, the person said. “In addition to receiving dividends, the existing property would like to realize some of its profits,” he added.

OnlyFans is a family business founded in 2016 by Stokely and his father Guy, a former Barclays investment banker. The company also employs Tim’s brother, Thomas, as the COO.

Celebrities including American rapper Cardi B and England rugby player Chris Robshaw recently joined the platform, seeking to monetize their vast social media followers. Fashion designer Rebecca Minkoff this year launched an OnlyFans account to show behind the scenes at New York Fashion Week.

The company, which expects pre-tax profit of over £ 300million in the fiscal year ended November, paid out £ 20million in dividends last year mainly to Radvinsky, which acquired the company in 2018.

The company said its primary audience is in the United States, and growth is particularly strong in Latin America and continental Europe. In the year through November, revenue more than increased by seven to reach £ 283.5million, while pre-tax profits rose from £ 6million to £ 53million, according to the documents filed by companies.

The size of the revenues and the growth rate suggest OnlyFans could have a valuation of several billion pounds if it goes public, making it one of the UK’s leading tech companies.

OnlyFans declined to comment.

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