Earlier this year, Tinder co-founder Sean Rad along with 8 other employees of the dating app, filed a lawsuit against its parent company IAC and Match group. In the lawsuit amounting to $2 million, the plaintiffs claimed that the parent company reduced the value of stock options held by early employees and founders based on false valuation.
Sean Rad’s has now given an interview wherein he has made a startling revelation over why he sold his stocks exactly one month before he got fired. In last September, IAC had actually fired Sean Rad from his position of a chairman.
In a statement to Verge he stated, “After Match and IAC cheated us and violated our contracts, they took away our ability to participate in Tinder’s future successes and forced me to accept Match options in place of Tinder options. Those options would expire in 30 days once they fired me. I had no choice but to exercise them, and when I did that, Match gave me IAC stock. IAC is a holding company full of assets I don’t believe in and that stole billions of dollars from its employees. So I sold the stock. Tinder is the company we built and I continue to believe in — not IAC or Match.”
The act of using his Tinder stock options fetched Rad $94 million in cash and some 816,000 IAC shares.
Tinder was the brainchild of Sean Rad and his best friend from high school and it was launched in 2012. Within two months, Tinder managed to find over a million matches. Ever since it has been the best dating app ever.Read More