Exclusive: Tango Secondary Financing Values Company At Around $1.5 Billion

[Ron Burgundy]

By Alexei Oreskovic and Sarah McBride SAN FRANCISCO (Reuters) - Tango, the mobile messaging company, is arranging a financing transaction that would value its business at around $1.5 billion, roughly one-third more than the valuation it received just five months ago, according to three people familiar with the situation. Tango’s transaction would involve early investors and shareholders selling shares to Ukrainian-born billionaire Len Blavatnik, who wishes to increase his stake, and potentially others, according to one of the people. Blavatnik, who owns Warner Music Group, first invested in Tango in 2011, when he led a $42 million funding round that valued the company at $160 million. The people cautioned there was no deal yet, and it was unclear how many existing investors would want to sell in a secondary transaction.

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