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Stock-based Compensation (Tables)
 6 Months Ended
Jun. 30, 2023
Share-Based Payment Arrangement [Abstract]  
Summary of Restricted Stock Unit Activity
A summary of the unvested time-based restricted stock unit (“RSU”) activity for director RSUs, employee RSUs, and the time-based awards granted to the CEO and CFO during the six months ended June 30, 2023 was as follows:
Number of SharesWeighted Average Grant Date Fair Value
Unvested at December 31, 20224,555,256 $10.10 
Granted1,253,550 $6.07 
Vested(43,750)$10.18 
Forfeited(116,155)$6.34 
Unvested at June 30, 20235,648,901 $9.28 
Schedule of Share-based Payment Award, Valuation Assumptions
The Company used the Monte Carlo simulation model to value the liability-classified award. The key inputs into the Monte Carlo simulation as of June 30, 2023 and December 31, 2022 were as follows:
June 30, 2023December 31, 2022
Expected term (in years)9.4 years9.9 years
Volatility70.0 %65.0 %
Risk-free interest rate3.8 %3.8 %
Dividend yield— %— %
The following table summarizes the key input assumptions used in the Black-Scholes option-pricing model to estimate the fair value of stock options granted for the six months ended June 30, 2022. No options were granted under the 2020 Plan for the six months ended June 30, 2023:
Six Months Ended
June 30, 2022
Expected life of options (in years)(1)
4.61
Expected stock price volatility(2)
56 %
Risk free interest rate(3)
1.37 %
Expected dividend yield(4)
— %
Weighted average grant-date fair value per share of stock options granted$2.75 
Fair value per common stock of Legacy Grindr (adjusted by the Exchange Ratio)$4.20 

(1)The expected term for award is determined using the simplified method, which estimates the expected term using the contractual life of the option and the vesting period.
(2)Expected volatility is based on historical volatilities of a publicly traded peer group over a period equivalent to the expected term of the awards.
(3)The risk-free interest rate is based on the U.S. Treasury yield of treasury bonds with a maturity that approximates the expected term of the awards.
(4)Prior to the date of the Business Combination, Legacy Grindr did not historically pay any cash dividends on its common stock. On June 10, 2022 and November 14, 2022, Legacy Grindr’s Board of Managers approved a special distribution, and the Company does not expect to pay any normal course cash dividends on its common stock in the foreseeable future.
Summary of Stock Option Activity
The following table summarizes the stock option activity for the six months ended June 30, 2023:
Number of
Options		Weighted
Average
Exercise
Price
Outstanding at December 31, 20224,705,765$5.15 
Exercised(485,549)$3.54 
Forfeited(1,221,244)$5.48 
Outstanding at June 30, 20232,998,972 $5.27 
Summary of the Components of Total Stock-Based Compensation Expense
The following table summarizes stock-based compensation expenses for the three and six months ended June 30, 2023 and 2022, respectively:
Three Months Ended
June 30,		Six Months Ended
June 30,
2023202220232022
Selling, general and administrative expenses$3,109 $12,823 $6,170 $13,435 
Product development expenses496 110 776 232 
$3,605 $— $12,933 $6,946 $13,667