China-based Kunlun Group set a deadline for the sale of its Grindr dating app and agreed not to access information about users on the platform, as part of a deal with US authorities, Bloomberg reported.

Under its agreement with the Committee on Foreign Investment in the United States (CFIUS), the company committed to sell Grindr before 30 June 2020, or sign the company over to a trustee if unable to offload it by that time.

The deal also prohibits Kunlun Group from tapping into information about Grindr users, including their location and health details, and bars it from transmitting such sensitive information to other China-based entities.

Kunlun Group purchased a 60 per cent stake in Grindr for $93 million in January 2016 and subsequently snapped up the rest of the company for $152 million in 2018. However, US officials quickly expressed concerns about user privacy under its control.

Reuters previously reported Kunlun Group plans to put Grindr up for auction, with investment bank Cowen handling the transaction.