Bumble Agrees to $1.3 Billion Take-Private Deal as Growth Falters

Ithaca Holdings will acquire the dating platform for $6.05 per share, giving shareholders a cash exit as the company confronts declining users and revenue.

Bumble has agreed to be acquired by Ithaca Holdings in an all-cash transaction valuing the dating platform at approximately $1.3 billion. Under the agreement announced on October 13, shareholders will receive $6.05 per share, representing a 138% premium to Bumble’s unaffected closing price on October 9.

The transaction marks a dramatic reversal for a company that went public in February 2021 at $43 per share. Bumble’s market value subsequently fell sharply as its growth weakened, reaching approximately $582 million at the October 12 close, according to Reuters. The proposed acquisition offers investors a substantial premium to the recent trading price, but remains far below the company’s public-market debut.

A Business Under Pressure

Bumble’s operating performance has deteriorated alongside changing consumer behavior. In the second quarter of 2026, total paying users declined 16.4% year over year to approximately 3.16 million. Revenue fell 15.2% to $210.5 million, reflecting weaker demand across its apps.

The company has attempted to reverse the decline through product changes, AI-powered features and new ways for users to connect offline. These initiatives have yet to deliver a sustained recovery. Competition from Match Group’s Tinder and Hinge has added pressure as younger users reconsider traditional swipe-based dating.

The Case for Private Ownership

Ithaca’s acquisition creates an opportunity to rebuild Bumble outside the immediate scrutiny of public markets. Ravi Gupta and John Hegeman, Ithaca’s co-founders, are expected to become Bumble’s co-CEOs after closing, working alongside founder Whitney Wolfe Herd.

Private ownership may give the company greater flexibility to reshape its product, allocate capital and pursue a longer-term strategy. It does not, however, guarantee a turnaround.

For Ithaca, the central challenge is converting a discounted acquisition into a durable business recovery. For Bumble shareholders, the deal provides liquidity after years of declining market value. The transaction remains subject to closing.

Sources: Bumble Investor Relations, Reuters, October 13, 2026.