AppLovin shares jump as it joins S&P 500

• AppLovin will join S&P 500 on September 22nd.
• Earlier this year, the ads giant offered to buy TikTok’s US business from ByteDance.
• In July, the company sold its mobile games business to Tripledot for $400m cash plus a 20% equity stake.

AppLovin shares have continued their sharp rise after its introduction to the S&P 500 index.

S&P Global said the changes take effect before trading on September 22nd, with AppLovin replacing MarketAxess Holdings in the S&P 500.

The company provides software for targeted ads in mobile apps and games.

Strategic moves

Earlier this year, AppLovin offered to acquire TikTok’s international business from ByteDance, though President Trump has repeatedly extended the sale deadline, most recently in June. The move would be more of a strategic merger with TikTok Global that would have combined all assets outside China rather than pursuing a full buyout. 

AppLovin made bold claims that TikTok’s ad revenue outside of China, estimated at $20 billion in 2024, could climb to $80bn if integrated with its Axon AI technology.

Soon after, in July, AppLovin finalised the sale of its mobile games division to Tripledot Studios as it looks to focus on its lucrative ads business in a deal worth $400 million in cash along with a 20% equity stake in the company.