Dating App Bumble increases IPO price by 30 percent, Tinder stock jumps more than 20 percent

Dating app Bumble has already raised its prices and size before dating with Wall Street. Actually, Bumble is planning to launch its IPO before Valentine’s Day. For this, the company had previously placed the issue price in the price band of 28 to 30 dollars (Rs 2040-2186) per share. But the company has now increased the issue price by 30% in the price band of 37 to 39 dollars (Rs 2700-2841). Apart from this, the company has also increased the size of the IPO from 3.5 crore equity shares to 4.5 crore equity shares. That is, the company will issue 4.5 crore shares for this IPO instead of 3.5 crore.

Since the news of Bumble listing itself on the US stock exchange Nasdaq (NASDAQ), its rival dating app Tinder (Tinder) stock has seen a huge jump. The company’s shares have jumped 20% to reach $ 158.17 (Rs 11,524). Bumble plans to raise $ 1.8 billion, or about Rs 13,115 crore through this IPO. This money is used to pay off its debt and buy back the shares of the company from the investors to whom the shares have been sold earlier. Bumble will be listed on the second US stock exchange, including NASDAQ.

Special things about Bumble

Bumble received revenue of $ 376 million between January 2020 and September 2020. However, the company incurred a net loss of $ 84 million in the same period. The company operates two apps which include Bumble and Badoo. However, the company gets more revenue than Bumble. Bumble had 4.2 million monthly active users by the third quarter of 2020, with more than 2.5 million paying active users who pay for its services. The company is spread over 150 countries in the world and gets an average revenue of $ 26.84 from each paying user.