Dating app Bumble in $1 billion takeover talks, report says
The all-cash agreement gives Bumble shareholders $6.05 per share, a 138% premium, as the company plans to remain based in Austin.
- On Monday, Bumble entered advanced talks to be taken private by Ithaca Holdings in a deal valuing the Austin-based dating app operator at roughly $1 billion.
- The company has struggled amid slowing user engagement in a crowded market, with a market valuation of roughly $389 million as of Friday's close.
- Bumble stock surged 50% to $3.81 on Monday with more than 17.7 million shares trading, though shares remain about 91% below the $43 IPO price from February 2021.
- CEO Whitney Wolfe Herd is overhauling the app with AI-powered features to revive growth, while board approval, Blackstone Inc.'s position, and financing terms remain key hurdles.
- A deal could arrive as soon as this week, though Bumble and Ithaca Holdings have not immediately responded to requests for comment.
106 Articles
106 Articles
Bumble once revolutionized online dating, founder Whitney Wolfe Herd allowed women to take the lead in inquiries. However, the business model weakens, now an investment company strikes around an ex-meta manager.
Bumble is sold for 1.3 billion dollars to the investment company Ithaca Holdings. Like its competitors, the dating app suffers from a declining interest in online dating.
The Independent
The Independent (US)Bumble dating app agrees £980 million takeover deal sending shares soaring
Shares in the group jumped 57 per cent overnight after the deal was announced
The interest in online dating is diminishing, especially among younger users, and the market value of dating apps is correspondingly weak. Nevertheless, one of them now changes owners - for a strong discount.
Evening Standard
ghanamma.comBumble taken over for £980m in ‘bet on future of humanity’
Shares in the group jumped 57% overnight after the deal was announced.
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