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Dating app Bumble acquired by Ithaca Holdings for $1.3bn
Overview
Investment firm Ithaca Holdings has acquired dating app Bumble for $1.3bn (£980m), with Ravi Gupta and John Hegeman taking over as co-chief executives. The loss-making company, founded by Whitney Wolfe Herd in 2014, previously dropped its signature 'women-first' messaging rule and has faced struggles including steep financial losses and falling share prices since its 2021 stock market flotation.
Key points
- Dating app Bumble has been bought by investment firm Ithaca Holdings for $1.3bn (£980m).
- Ravi Gupta and John Hegeman will become co-chief executives of the company.
- Founder Whitney Wolfe Herd stated she will remain actively involved and work closely with the new owners.
- The acquisition comes after a period of steep financial losses and a drop in valuation from a 2021 peak of over $14bn.
- Bumble recently ditched its famous 'women-first' chat rule in August to offer users more flexibility.
- The online dating industry has faced recent pressures, including job cuts at Bumble and declining user engagement among younger demographics.