Social networking app Skout on prnewswire has acquired the nightlife app Nixter, which may lead to even more exciting nights out for all of us.
Originally reported by TechCrunch, Skout CEO Christian Wiklund said he went after the deal primarily as a way to expand Skout. The app, which currently works as a social networking app, will use Nixter to take what were once online interactions into the real world. Nixter has focused it work up to this point on nightlife. With the app you can not only figure out what’s going on in the two you’re in, but also buy tickets to events, check out the guest list of who already plans on attending, and coordinate VIP accommodations.
Wiklund told TechCrunch that he thought that the acquisition of Nixter would constitute a huge value add for the company. He said that he thought the addition of some of Nixter’s functionality would make it easier for Skout to monetize its users in the future. Wiklund also think that the added functionality in Skout from the Nixter acquisition will help build more loyalty amongst its users.
The companies did not disclose how much Skout paid for Nixter. While a specific amount wasn’t shared with TechCrunch or otherwise, they did share that the sale was a mixture of both cash and stock. That means that some Nixter employees and investors are now stock holders of Skout.
Nixter is Chilie-based company that was founded in 2012. Since its launch it has been able to raise close to $20,000 in angel funding, primarily from investors who are also based in in home country of Chile. The company competes directly with a number of apps, notably the app WillCall, which focuses specifically on live events.
For the time, Skout and Nixter will continue on as separate apps. However, at some point some of the functionality in Nixter might be added into Skout while also maintaining its separate brand and app. That means users of both apps can continue to use them as they already do.
Skout became profitable for the first time earlier this year. The company makes money through selling a digital currency within the app. The currency can be used to unlock individual features within the app, for instance the ability to see who has viewed your profile within the app.
The majority of Skout’s current user base is located abroad, while 30% of the company’s users are currently located in the United States. The acquisition of Nixter gives the app more opportunity to grown into additional areas.