OnlyFans' Billion-Dollar Purchase
Share
A story about how Leo Radvinsky acquired OnlyFans and turned it into a multi-billion dollar company.
"Leo approached OnlyFans and bought 75% of the business from Guy Stokely, who had started it with a small £10,000 loan from his dad. At the time, it was reported he bought 75% for what I believe was low millions of dollars, possibly single-digit millions.
In 2022, OnlyFans generated $5.6 billion in revenue. Their take was 20%, so the company made $1.1 billion - for every $4 a creator makes, they make $1. On that $1.1 billion in revenue, they made $525 million in profit. After taxes, the profit was still $400 million.
Leo took $338 million in dividends last year, and the year before that he took around $200 million. He's taken out $550 million in dividends in just the last two years. This is incredible because he bought the company in 2018 - just 5 years ago. Even if we assume he paid $10 million, this is now more than a $10 billion company. He turned potentially $10 million into essentially $10 billion of value personally - not a fund, not a company, this is one guy.
Before OnlyFans, Leo got very rich from creating MyFreeCams, which took over the cam girl market. He used that money to invest and parlay into other businesses, but Phoenix International, which is OnlyFans, has become a major one."
Shaan Puri
Host of MFM
Shaan Puri is the Chairman and Co-Founder of The Milk Road. He previously worked at Twitch as a Senior Director of Product, Mobile Gaming, and Emerging Markets. He also attended Duke University.