OnlyFans in talks to sell stake in deal that values porn empire at $3B: report | Latest Tech News
OnlyFans is reportedly in talks to sell a minority stake in a deal that values the porn empire at roughly $3 billion – a low cost to the $3.5 billion valuation the company had sought before its reclusive proprietor died last month.
San Francisco-based Architect Capital would buy less than 20% of the business in a deal closing as soon as next month, the report said. That’s far less than the 60% stake Architect had mentioned buying earlier this yr — and the key purpose for the low cost, according to the Financial Times report.
The sale talks are coming to a head after OnlyFans proprietor Leonid Radvinsky died last month at 43 following a secret battle with cancer. Radvinsky’s widow Katie has been overseeing the sale talks and controls the trust which holds her late husband’s shares.
The sale talks comply with the death last month of OnlyFans proprietor Leonid Radvinsky at 43 years previous. Leonid Radvinsky/Facebook
As completely reported by The Post, OnlyFans tapped Moelis & Co., the investment bank based by Wall Street legend Ken Moelis — to help it discover a purchaser after at least one other bank shied away from representing OnlyFans.
The Post reported last month that Architect has been struggling to discover backers for its bid to purchase OnlyFans, with mainstream funds and establishments involved about reputational risk and regulatory scrutiny.
OnlyFans takes a 20% cut from its roughly 4.6 million creators, per the filings and the positioning is just not on App shops so no income is shared with Apple or Google.
Despite being a money minting machine, OnlyFans has confronted legal issues for years.
Architect — whose investments embrace e-cigarette maker Juul Labs — goals to fund the proposed transaction by pooling capital from exterior traders through a particular objective vehicle. OnlyFans is operated by UK-based Fenix International Ltd.
As half of the deal, Architect would work with OnlyFans to develop new financial companies and merchandise to offer the platform’s creators, according to the FT report. Last month, insiders told The Post that OnlyFans had been contemplating shopping for or partnering with a financial technology company to help tackle its long-running banking woes.
OnlyFans tapped Moelis & Co., the investment bank based by Wall Street legend Ken Moelis, earlier this yr. Bloomberg via Getty Images
Last yr, Visa started imposing stricter chargeback and fraud requirements that slammed OnlyFans. X-rated websites also face greater transaction charges – often 5% to 10% versus 2% to 3% for conventional e-commerce, according to a report this yr by funds processor Myntpay.
OnlyFans, Architect and Moelis didn’t reply to requests for remark.
Founded in 2016, Radvinsky purchased a majority stake in the platform in 2018 and turned it into a financial juggernaut by permitting creators to charge immediately for their content.
OnlyFans earned $666 million in working revenue on $1.4 billion in income in the yr ended Nov. 30 2024, according to UK company filings. The company logged $449 million of gross sales prices and $197 million of administrative bills. OnlyFans had only 46 workers, the filings show. About 64% of its income is generated in the US.
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