FriendFinder Networks (NASDAQ:FFN) is an online media company that operates several social networking and entertainment websites around the world. These specialized sites look to appeal to groups who have specific interests in networking and social media. The company focuses on building sites that either allow individuals to enter an online social network or create live interactive videos. The interactive videos allow models to interact with users through video and instant messaging. FriendFinder makes money through online subscriptions and paid usage for certain services.
While many social networks and videos sites have attempted to remain unspecialized in order to allow all members to join, FriendFinder has not. FriendFinder focuses on finding specific niches of internet users who all have a common interest or desire. By creating a different website specifically for each of these groups, FriendFinder hopes to better serve their needs. This is in contrast to networks which operate single, large platforms that do not focus on any specific group.
The company's initial public offering of stock on the NASDAQ occurred on May 10, 2011. The company offered 5M shares each for $10. This was at the low end of the $10 - $12 initial price range. The company had originally planned to sell 20M shares in February of 2010. However, the company decided to delay its IPO. This offering raised a total of $50M. The lead managers of the IPO were Bank of America (BAC) and Citigroup (C).
For the full year 2010, FriendFinder reported a total revenue of $346M and a net loss of $43M. While this was a 5% increase in total revenues from 2009, the net loss also increased by 2%