Bumble Prices Upcoming IPO, Plans to Raise Around $1 Billion

Bumble, which plans to list on the Nasdaq, is hoping to raise more than $1 billion from its upcoming IPO following a record year for new listings on Wall Street.
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Bumble Inc. said Tuesday that it plans to raise as much a $1 billion from its upcoming initial public offering on the Nasdaq. 

Bumble, an online dating app with more than 100 million users, will price 34.5 million shares for sale at between $28.00 and $30.00 each, a level that would raise as much as $1.04 billion. The Austin, Texas-based group plans to list on the Nasdaq Global Select Market under the ticker symbol BMBL. Goldman Sachs, , Citigroup, Morgan Stanley and JPMorgan Chase will lead the underwriting group.

CEO Whitney Wolfe-Herd, who founded the group in 2014 following her departure from rival dating app Tinder, will own around 14% of the combined voting power of Bumble shares once the IPO is complete, the company said, with private equity firm Blackstone Group  (BX) - Get Report controlling around 83%, according to papers filed with the Securities and Exchange Commission.

"While we are proud of how far we have come, having grown from a community of just a few people to an IPO, today is just day one," Wolfe-Herd said in a statement filed with the SEC. "This marks the start of a very bright future for Bumble Inc., one that we believe will change lives and drive great value for shareholders."

"Our mission, values, commitment to improving relationships globally, and dedication to our communities will continue to fuel us for the long run," she added.

Bumble swung to a net loss of $116.7 million for first nine months of 2020, according to recent SEC filings, down from a profit of $68.6 million over the same period last year, on revenues of $416.6 million. 

“The dating industry is highly competitive, with low switching costs and a consistent stream of new products and entrants, and innovation by our competitors may disrupt our business,” Bumble said.