Bumble Agrees to be Bought by Ithaca Holdings for $1.3 Billion
Bumble has agreed to be acquired by Ithaca Holdings in an all-cash deal valuing the dating app at approximately $1.3 billion, the companies announced on Tuesday. Ithaca will pay $6.05 per Bumble Class A share, representing a 138% premium to the stock's closing price on October 9, before news of the advanced talks emerged.
Key Points:
- The deal does not require a shareholder vote as funds linked to Blackstone and founder Whitney Wolfe Herd have already approved it in writing.
- Once closed, Ithaca's co-CEOs Ravi Gupta and John Hegeman will also serve as co-CEOs of Bumble.
- Wolfe Herd will maintain a close role and Bumble will remain headquartered in Austin, Texas.
- The companies have not specified a closing date.
"Bumble was founded on a simple belief: meaningful relationships are essential to a healthy, happy life," said Wolfe Herd.
Gupta and Hegeman expressed enthusiasm for the partnership, highlighting Bumble's strong brand and loyal user base.
"We see huge potential to take [Bumble] into the next era together, building on the foundation Whitney and the talented Bumble team have built," they stated.
The acquisition ends five years after Bumble's initial stock market listing, valued at $14 billion. Since then, its business has faced challenges, with revenue declining 15.2% in Q2 2026 to $211 million and paying users dropping 16.4% to approximately 3.2 million.
Under Wolfe Herd's leadership, Bumble has implemented new features such as an AI dating assistant called Bee and adjusted its messaging dynamics to win back users.