Synopsis
OnlyFans is close to selling a minority stake. The deal could value the adult content platform at over three billion dollars. San Francisco-based fund Architect Capital is in advanced discussions. An agreement might be reached next month. The sale follows the death of owner Leonid Radvinsky.Listen to this article in summarized format
The report, citing people familiar with the matter, said the group is in advanced discussions with San Francisco-based fund Architect Capital to sell a stake of less than 20%. An agreement could be reached as early as next month.
However, the deal may still face last-minute hurdles, the report said.
The move comes after the death of owner Leonid Radvinsky in March at the age of 43 following a battle with cancer. Control of the business now rests with a family trust holding his shares, led by his widow Katie, who has been overseeing the sale process since his illness and passing.
As part of the proposed deal, OnlyFans is expected to partner with Architect to develop financial services and products aimed at creators. According to the Financial Times report, many creators on the platform face difficulties accessing traditional banking services, creating an opportunity for new offerings.
Architect is funding the investment through a special-purpose vehicle backed by other investors.
The report noted that the company had earlier explored selling a majority stake at a valuation exceeding $5 billion. However, the decision to sell only a minority interest without transferring control has led to a lower valuation for the current deal.
The report said that Architect had entered exclusive talks late last year to acquire a majority stake. Other potential buyers had shown interest as well, including Forest Road Company, supported by British billionaires David Reuben and Simon Reuben.
