WELSH investor Richard Griffiths has almost doubled his stake in online dating firm Cupid.

The former sheep farmer and rugby player, who founded investment bank Evolution and boutique finance house ORA Capital, bought more than 3.16 million shares in Edinburgh based Cupid.

Mr Griffiths is likely to have spent around £660,000 taking his stake in the company from 4.53 per cent to almost nine per cent.

A stock market filing, released yesterday, shows the share purchase took place on Friday and takes the holding of Mr Griffiths to more than 6.36 million shares.

Of that 1.6 million are controlled through Seren Capital Management, more than two million through Cream Capital and close to 2.7 million are directly held by Mr Griffiths.

The stock market announcement confirms that Mr Griffiths controls Seren and Cream Capital.

Mr Griffiths emerged as an investor in Cupid during August when the initial purchase of shares by Seren and Cream was revealed.

The latest increase in his position moves him from the fourth largest shareholder to the number three position, leapfrogging Majedie Asset Management which has a 7.7 per cent stake of around 5.5 million shares.

Guernsey-based investment group Kestrel Partners is in second place with its 12.98 million shares equivalent to more than 18 per cent of Cupid.

Bill Dobbie, Cupid's co-founder and now a non-executive director on its board, is the largest shareholder with his 14.68 million shares giving him a stake of more than 20 per cent.

Earlier this year the Toscafund hedge fund, chaired by Sir George Mathewson, sold its entire 16 per cent holding in Cupid.

In September Cupid reported a £3m pre-tax loss for the six months between January and June this year while also highlighting a growing shift towards mobile device applications.

Shares in Cupid closed up 0.5p, or 2.5 per cent, at 20.75p, valuing Mr Griffiths' stake at around £1.75m.