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Spark Networks SE
c/o Affinitas GmbH Kohlfurter Straße 41/43 Berlin 10999 Germany Attn: Herbert Sablotny Tel: (+49) 30 868 000 102 |
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Affinitas GmbH
Kohlfurter Straße 41/43 Berlin 10999 Germany Attn: Herbert Sablotny Tel: (+49) 30 868 000 102 |
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Spark Networks, Inc.
11150 Santa Monica Blvd., Suite 600 Los Angeles, California Attn: Robert O’Hare Tel: (310) 893-0550 |
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| | | | F-1 | | | |
| | | | F-1 | | | |
| | | | F-1 | | | |
| | | | F-2 | | | |
| | | | A-1 | | | |
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For registered holders:
(Shares are registered in your name with Spark’s transfer agent, Computershare, Inc.) |
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For beneficial holders:
(Shares are held in a brokerage account or on your behalf by a bank or other holder of record) |
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Electronically via the Internet:
|
| | www.proxyvote.com* | | | www.proxyvote.com** | |
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By telephone:
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| | 1-800-690-6903* | | | 1-800-690-6903** | |
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By mail:
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| | Use the enclosed proxy card | | | Use the voting instruction form provided by your broker | |
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Voting deadline:
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| | 11:59 p.m. Eastern Time, on November 1, 2017 | | | Refer to the directions received from your broker | |
(in € thousands, except share and per share amounts)
|
| |
From March 29
(date of inception) to June 30, 2017 |
| |||
Statement of Operations Data: | | | |||||
Revenue | | | |
|
—
|
| |
General and admin expenses
|
| | | | 10 | | |
Operating loss
|
| | | | (10) | | |
Loss before tax for the period
|
| | | | (10) | | |
Income Tax
|
| | | | — | | |
Total comprehensive loss for the period
|
| | | | (10) | | |
Loss per share (basic/diluted)
|
| | | | (0.08) | | |
Weighted average number of shares outstanding, basic and diluted
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| | | | 120,000 | | |
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(in € thousands)
|
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As of March 29,
2017 |
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As of June 30,
2017 |
| ||||||
Consolidated Balance Sheet data: | | | | ||||||||||
Cash and cash equivalents
|
| | | | — | | | | | | 120 | | |
Total assets
|
| | | | — | | | | | | 120 | | |
Current liabilities
|
| | | | — | | | | | | 10 | | |
Equity | | | | | — | | | | | | 110 | | |
| | |
Six months ended June 30,
|
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Year ended December 31,
|
| ||||||||||||||||||
(in € thousands, except per share amounts)
|
| |
2017
|
| |
2016
|
| |
2016
|
| |
2015
|
| ||||||||||||
Consolidated Statement of Operations Data: | | | | | | ||||||||||||||||||||
Revenue | | | | | 42,116 | | | | | | 35,637 | | | | | | 73,491 | | | | | | 60,442 | | |
Cost of revenue
|
| | | | (29,039) | | | | | | (26,499) | | | | | | (51,202) | | | | | | (44,630) | | |
Gross profit
|
| | | | 13,077 | | | | | | 9,138 | | | | | | 22,289 | | | | | | 15,812 | | |
Other income
|
| | | | 49 | | | | | | 8 | | | | | | 126 | | | | | | 309 | | |
Other operating expenses
|
| | | | (15,100) | | | | | | (8,288) | | | | | | (19,742) | | | | | | (15,193) | | |
Sales and marketing expenses
|
| | | | (2,765) | | | | | | (1,525) | | | | | | (3,919) | | | | | | (3,036) | | |
Customer service expenses
|
| | | | (2,195) | | | | | | (1,315) | | | | | | (2,791) | | | | | | (2,357) | | |
Technical operations and development expenses
|
| | | | (2,764) | | | | | | (1,500) | | | | | | (3,305) | | | | | | (3,849) | | |
General and administrative expenses
|
| | | | (7,376) | | | | | | (3,948) | | | | | | (9,727) | | | | | | (5,951) | | |
Operating (loss)/profit
|
| | | | (1,974) | | | | | | 858 | | | | | | 2,673 | | | | | | 928 | | |
Interest income and similar income
|
| | | | 73 | | | | | | 63 | | | | | | 157 | | | | | | 30 | | |
Interest expense and similar charges
|
| | | | (419) | | | | | | (144) | | | | | | (425) | | | | | | (103) | | |
Net finance expenses
|
| | | | (346) | | | | | | (81) | | | | | | (268) | | | | | | (73) | | |
(Loss)/income before taxes
|
| | | | (2,320) | | | | | | 777 | | | | | | 2,405 | | | | | | 855 | | |
Income taxes
|
| | | | 616 | | | | | | (239) | | | | | | (1,082) | | | | | | (445) | | |
(Loss)/profit from continuing operations
|
| | | | (1,704) | | | | | | 538 | | | | | | 1,323 | | | | | | 410 | | |
Loss from discontinued operations, net of tax
|
| | | | — | | | | | | (607) | | | | | | (632) | | | | | | (959) | | |
Profit/(loss) for the period
|
| | | | (1,704) | | | | | | (69) | | | | | | 691 | | | | | | (549) | | |
Other comprehensive income
|
| | | | — | | | | | | — | | | | | | — | | | | | | — | | |
Total comprehensive income/(loss) for the period
|
| | | | (1,704) | | | | | | (69) | | | | | | 691 | | | | | | (549) | | |
Basic and diluted earnings/(loss) per share
|
| | | | (68.16) | | | | | | (2.76) | | | | | | 27.64 | | | | | | (21.96) | | |
Basic and diluted earnings/(loss) per share – continuing operations
|
| | | | (68.16) | | | | | | 21.52 | | | | | | 52.92 | | | | | | 16.40 | | |
|
| | |
Six months ended June 30,
|
| |
Year ended December 31,
|
| ||||||||||||||||||
(in € thousands)
|
| |
2017
|
| |
2016
|
| |
2016
|
| |
2015
|
| ||||||||||||
Other financial information and Adjusted EBITDA: | | | | | | ||||||||||||||||||||
Total comprehensive income/(loss) for the period
|
| | |
|
(1,704)
|
| | | |
|
(69)
|
| | | | | 691 | | | | | | (549) | | |
Discontinued operations
|
| | | | — | | | | | | 607 | | | | | | 632 | | | | | | 959 | | |
Net finance expenses
|
| | | | 346 | | | | | | 81 | | | | | | 268 | | | | | | 73 | | |
Income taxes
|
| | | | (616) | | | | | | 239 | | | | | | 1,082 | | | | | | 445 | | |
Depreciation
|
| | | | 98 | | | | | | 45 | | | | | | 251 | | | | | | 102 | | |
Amortization
|
| | | | 1,407 | | | | | | 8 | | | | | | 1,027 | | | | | | 38 | | |
Impairment of property, plant and equipment
|
| | | | 25 | | | | | | — | | | | | | — | | | | | | — | | |
Share-based compensation
|
| | | | 376 | | | | | | 556 | | | | | | 991 | | | | | | 600 | | |
Financing, acquisition and severance costs(1)
|
| | | | 2,438 | | | | | | 49 | | | | | | 927 | | | | | | 16 | | |
Adjusted EBITDA
|
| | | | 2,370 | | | | | | 1,516 | | | | | | 5,869 | | | | | | 1,684 | | |
|
| | |
As of June 30,
|
| |
As of December 31,
|
| ||||||||||||
(in € thousands)
|
| |
2017
|
| |
2016
|
| |
2015
|
| |||||||||
Consolidated Balance Sheet data: | | | | | |||||||||||||||
Cash and cash equivalents
|
| | | | 6,722 | | | | | | 8,064 | | | | | | 2,987 | | |
Total assets
|
| | | | 36,052 | | | | | | 37,268 | | | | | | 23,065 | | |
Non-current liabilities
|
| | | | 33,119 | | | | | | 33,161 | | | | | | 26,494 | | |
Current liabilities
|
| | | | 28,984 | | | | | | 28,830 | | | | | | 22,976 | | |
Total shareholder’s equity
|
| | | | (26,051) | | | | | | (24,723) | | | | | | (26,405) | | |
| | |
Six Months Ended June 30,
|
| |
Year Ended December 31,
|
| ||||||||||||||||||
(in thousands, except per share amounts)
|
| |
2017
|
| |
2016
|
| |
2016
|
| |
2015
|
| ||||||||||||
Consolidated Statement of Operations Data: | | | | | | ||||||||||||||||||||
Revenue
|
| | | $ | 13,904 | | | | | $ | 18,957 | | | | | $ | 35,091 | | | | | $ | 48,135 | | |
Net (loss)
|
| | | | (4,644) | | | | | | (3,079) | | | | | | (6,890) | | | | | | (1,437) | | |
Net (loss) per share – basic and diluted
|
| | | $ | (0.14) | | | | | $ | (0.12) | | | | | $ | (0.24) | | | | | $ | (0.06) | | |
| | |
June 30,
2017 |
| |
December 31,
|
| ||||||||||||
(in thousands, except per share amounts)
|
| |
2016
|
| |
2015
|
| ||||||||||||
Consolidated Balance Sheet Data: | | | | | |||||||||||||||
Total assets
|
| | | $ | 27,453 | | | | | $ | 31,817 | | | | | $ | 33,076 | | |
(in € thousands, except per share amounts)
|
| |
New Spark Pro Forma
|
| |||||||||
|
Six months ended
June 30, 2017 |
| |
Year ended
December 31, 2016 |
| ||||||||
Unaudited Combined Condensed Pro Forma Statement of Operations Data:
|
| | | ||||||||||
Revenue | | | | | 54,915 | | | | | | 109,731 | | |
Cost of revenue
|
| | | | (32,729) | | | | | | (65,519) | | |
Gross profit
|
| | | | 22,186 | | | | | | 44,212 | | |
Other income
|
| | | | 49 | | | | | | 141 | | |
Other operating expenses
|
| | | | (24,371) | | | | | | (51,255) | | |
Sales and marketing expenses
|
| | | | (4,088) | | | | | | (10,914) | | |
Customer service expenses
|
| | | | (3,332) | | | | | | (5,523) | | |
Technical operations and development expenses
|
| | | | (7,703) | | | | | | (11,802) | | |
General and administrative expenses
|
| | | | (9,248) | | | | | | (23,016) | | |
Operating loss
|
| | | | (2,136) | | | | | | (6,902) | | |
Interest income and similar income
|
| | | | 386 | | | | | | 172 | | |
Interest expense and similar charges
|
| | | | (419) | | | | | | (846) | | |
Net finance expenses
|
| | | | (33) | | | | | | (674) | | |
Loss before taxes
|
| | | | (2,169) | | | | | | (7,576) | | |
Income taxes
|
| | | | (1,285) | | | | | | 838 | | |
Loss for the period
|
| | | | (3,454) | | | | | | (6,738) | | |
Other comprehensive loss
|
| | | | 143 | | | | | | (24) | | |
Total comprehensive loss for the period
|
| | | | (3,311) | | | | | | (6,762) | | |
Basic and diluted loss per share
|
| | | | (2.67) | | | | | | (5.21) | | |
|
(in € thousands)
|
| |
Six months ended
June 30, 2017 |
| |
Year ended
December 31, 2016 |
| ||||||
Selected information and Adjusted EBITDA: | | | | ||||||||||
Pro Forma loss for the period
|
| | | | (3,454) | | | | | | (6,738) | | |
Net finance expenses
|
| | | | 33 | | | | | | 674 | | |
Income taxes
|
| | | | 1,285 | | | | | | (838) | | |
Depreciation
|
| | | | 3,181 | | | | | | 3,173 | | |
Amortization
|
| | | | 1,602 | | | | | | 2,991 | | |
Impairment of intangible and long-lived assets
|
| | | | 47 | | | | | | 4,182 | | |
Share-based compensation
|
| | | | 691 | | | | | | 1,878 | | |
Financing, acquisition and severance costs(1)
|
| | | | 103 | | | | | | 1,880 | | |
Pro Forma Adjusted EBITDA
|
| | | | 3,489 | | | | | | 7,202 | | |
|
(in € thousands)
|
| |
New Spark Pro Forma
|
| |||
|
As of
June 30, 2017 |
| |||||
Unaudited Combined Condensed Pro Forma Balance Sheet data: | | | |||||
Cash and cash equivalents
|
| | | | 9,719 | | |
Total assets
|
| | | | 68,938 | | |
Borrowings
|
| | | | 5,850 | | |
Total liabilities
|
| | | | 44,466 | | |
Total shareholder’s equity
|
| | | | 24,472 | | |
| | |
At and for the six months ended June 30,
|
| |
At and for the year ended December 31,
|
| ||||||||||||||||||
| | |
2017
|
| |
2016
|
| |
2016
|
| |
2015
|
| ||||||||||||
| | |
(in € )
|
| |||||||||||||||||||||
Basic (loss)/earnings per share from continuing operations
|
| | | | (68.16) | | | | | | 21.52 | | | | | | 52.92 | | | | | | 16.40 | | |
Book value per share(1)
|
| | | | (1,042.04) | | | | | | — | | | | | | (988.92) | | | | | | (1,056.20) | | |
| | |
At and for the three
months ended June 30, |
| |
At and for the six
months ended June 30, |
| |
At and for the year
ended December 31, |
| |||||||||||||||||||||||||||
| | |
2017
|
| |
2016
|
| |
2017
|
| |
2016
|
| |
2016
|
| |
2015
|
| ||||||||||||||||||
| | |
(in $)
|
| |||||||||||||||||||||||||||||||||
Net (loss) earnings per share – basic and diluted
|
| | | | (0.08) | | | | | | 0.01 | | | | | | (0.14) | | | | | | (0.12) | | | | | | (0.24) | | | | | | (0.06) | | |
Book value per share
|
| | | | 0.56 | | | | | | 0.64 | | | | | | 0.56 | | | | | | 0.64 | | | | | | 0.78 | | | | | | 0.75 | | |
| | |
At and for the six months ended
June 30, 2017 |
| |
At and for the year ended
December 31, 2016 |
| ||||||
| | |
(in €)
|
| |||||||||
Basic loss per share
|
| | | | (2.67) | | | | | | (5.21) | | |
Book value per share(2)
|
| | | | 18.04 | | | | | | — | | |
| | |
At and for the six months ended
June 30, 2017 |
| |
At and for the year ended
December 31, 2016 |
| ||||||
| | |
(in €)
|
| |||||||||
Basic loss per share
|
| | | | (0.27) | | | | | | (0.52) | | |
Book value per share(1)
|
| | | | 1.80 | | | | | | — | | |
| | |
Spark
Common Stock |
| |||
May 1, 2017
|
| | | $ | 1.02 | | |
October 18, 2017
|
| | | $ | 1.02 | | |
Recent Monthly Data
|
| |
Period-End
Rate(1) |
| |
Average
Rate(2) |
| |
High
|
| |
Low
|
| ||||||||||||
October 2017 (to October 6, 2017)
|
| | | | 1.1732 | | | | | | 1.1740 | | | | | | 1.1760 | | | | | | 1.1706 | | |
September 2017
|
| | | | 1.1813 | | | | | | 1.1913 | | | | | | 1.2041 | | | | | | 1.1747 | | |
August 2017 | | | | | 1.1894 | | | | | | 1.1813 | | | | | | 1.2025 | | | | | | 1.1703 | | |
July 2017
|
| | | | 1.1826 | | | | | | 1.1579 | | | | | | 1.1826 | | | | | | 1.1336 | | |
June 2017
|
| | | | 1.1411 | | | | | | 1.1233 | | | | | | 1.1420 | | | | | | 1.1124 | | |
May 2017
|
| | | | 1.1236 | | | | | | 1.1041 | | | | | | 1.1236 | | | | | | 1.0869 | | |
April 2017
|
| | | | 1.0895 | | | | | | 1.0714 | | | | | | 1.0941 | | | | | | 1.0606 | | |
March 2017
|
| | | | 1.0698 | | | | | | 1.0691 | | | | | | 1.0882 | | | | | | 1.0514 | | |
February 2017
|
| | | | 1.0618 | | | | | | 1.0650 | | | | | | 1.0802 | | | | | | 1.0551 | | |
January 2017
|
| | | | 1.0794 | | | | | | 1.0635 | | | | | | 1.0794 | | | | | | 1.0416 | | |
Interim Period Data | | | | | | ||||||||||||||||||||
Six months ended June 30, 2017
|
| | | | 1.1411 | | | | | | 1.0942 | | | | | | 1.1420 | | | | | | 1.0416 | | |
Annual Data (Year ended December 31) | | | | | | ||||||||||||||||||||
2016
|
| | | | 1.0552 | | | | | | 1.1029 | | | | | | 1.1516 | | | | | | 1.0375 | | |
2015
|
| | | | 1.0859 | | | | | | 1.1032 | | | | | | 1.2015 | | | | | | 1.0524 | | |
2014
|
| | | | 1.2101 | | | | | | 1.3210 | | | | | | 1.3927 | | | | | | 1.2101 | | |
2013
|
| | | | 1.3779 | | | | | | 1.3303 | | | | | | 1.3816 | | | | | | 1.2774 | | |
2012
|
| | | | 1.3186 | | | | | | 1.2909 | | | | | | 1.3463 | | | | | | 1.2062 | | |