Bumble has entered into a definitive agreement to be acquired by Ithaca Holdings for $1.3 billion. The deal follows a strategic review conducted by an independent committee of the Bumble board, which sought advice from external legal and financial consultants.
The company, founded in 2014 by Whitney Wolfe Herd, previously went public in 2021 with a valuation of approximately $14 billion. The transition to private ownership is intended to provide the firm with greater flexibility to test new features without the pressure of quarterly public market reporting.
Financial performance has recently declined, with second-quarter 2026 revenue reaching $211 million, a 15.2% decrease year-over-year. The number of paying users also dropped by 16.4% to approximately 3.2 million, as the platform faces challenges with its traditional swipe-based model.
Whitney Wolfe Herd will remain involved in the business, collaborating with Ithaca executives Ravi Gupta and John Hegeman. The company is currently shifting its focus toward AI-driven tools and offline connection features, such as the Plans initiative launched in July, to better serve younger users.
