Dating app site The Meet Group (NASDAQ:MEET) announced it agreed to be acquired for $500 million by NuCom Group, a joint venture between German broadcasting company ProSiebenSat.1 Media and private equity firm General Atlantic. NuCom owns competing matchmaking site eharmony.

The dating app market is undergoing consolidation as it was reported last month that industry leader Match Group, the owner of such sites as Tinder, OKCupid, and Hinge -- as well as its namesake dating app -- had approached The Meet Group about an acquisition. Bumble owner MagicLab also sold a majority stake in its business to Blackstone Group late last year for $3 billion.

Smiling woman looking at phone with hearts streaming from it

Image source: Getty Images.

Offering a significant premium

According to Meet, NuCom will purchase the dating site for $6.50 per share in cash, giving Meet Group an enterprise value of $500 million. NuCom owns Parship Group, which has a portfolio of matchmaking site brands including Parship, Elite Partner, and eharmony.

The purchase price offered represents a 30% premium to The Meet Group's 30-day volume weighted average price, and a 43% premium to the 60-day price.

The Meet Group CEO Geoff Cook said in a statement, "This transaction will allow us to tap new strategic growth opportunities by leveraging our video platform and ProSiebenSat.1's experience with content and entertainment."

ProSabienSat.1 has been seeking ways to offset its declining commercial TV franchise in Germany by increasing its digital presence, Reuters reports.