The long-anticipated IPO of Bumble is expected to proceed next week. The dating app is targeting to raise as much as $1 billion through the IPO. Bumble itself has been receiving praise for its different approach and initiatives.
More about Bumble and the IPO
First founded in 2014 by Whitney Wolfe Herd, Bumble is proceeding with an IPO. According to Bloomberg, the company set the terms for a U.S. IPO to raise as much as $1 billion. This, Tech Crunch notes, will further leverage the company’s value between $5.73 billion and $6.14 billion, looking at a diluted valuation.
A little spoiler from Bloomberg said that the shares will begin trading on February 11th, the Thursday before Valentine. However, Bumble’s officials have not given any information on the exact IPO date as of yet. Around 34.5 million shares will be available on trade, with price ranging around $28 to $30 apiece.
Goldman Sachs Group Inc., Citigroup Inc., Morgan Stanley and JPMorgan Chase & Co. will lead the offering. Taking the BMBL symbol, Bumble will likely list its shares on the Nasdaq Global Select Market.
Bumble’s future prospect
Bumble’s distinctive feature is that women are the decision-maker in the app. Jeremy Abelson, founder and portfolio manager at Irving Investors also applause Bumble’s unique feature by saying that “Bumble’s women-first approach effectively differentiated it during the early land grab,” Bloomberg notes. Abelson also sees potential in Bumble’s growth with appropriate international expansion. Moreso because the company is still in the early stages of monetization.
Sarah Kunst of Cleo Capital, who was also a senior advisor to bumble, told Tech Crunch that Bumble is making history. Bumble might even “unleash a tidal wave of new funding and startups in the space.”
Whitney’s, success is also proving venture investors’ theory that dating “is a highly lucrative and fast growing sector,” Kunst told Tech Crunch. Kunst further elaborated that “she also is at the vanguard of several dawning realizations in tech: companies founded outside of Silicon Valley, companies founded by women, and gender parity on boards.”