Bumble spikes 85% in trading debut after $2.2 billion IPO

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Bumble spikes 85% in trading debut after $2.2 billion IPO
Vivien Killilea/Getty Images for Bumble
  • Bumble surged as much as 85% on Thursday as the dating app's stock made its public-market debut.
  • The company raised $2.2 billion in a Wednesday IPO, offering 50 million shares for $43 each.
  • Bumble's user count soared to 42 million in the September quarter, up 22% from the year-ago period.
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Dating app Bumble surged as much as 85% on Thursday as shares publicly traded hands for the first time following the company's initial public offering.

Bumble raised $2.2 billion in its Wednesday IPO before accounting for a possible over-allotment option. The company sold 5o million shares at $43 each, giving Bumble a market capitalization of more than $8 billion.

Shares were originally set to be sold between $28 and $30 before the company lifted the range to $37 to $39. The original offering plans also saw Bumble offering 34.5 million shares.

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Shares trade with the ticker "BMBL" on the Nasdaq.

The pandemic and related lockdown measures contributed to strong user growth over the past calendar year. Bumble reported having 42 million monthly active users at the end of September, up 22% from the year prior. Roughly 2.4 million were paying members of its dating service.

The company expects to bring in as much as $541.5 million in revenue from January 2020 to December 2020, an 11% increase from the year-ago period, according to regulatory filings. Sales for the nine-month period that ended September 30 totaled roughly $417 million.

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Goldman Sachs and Citigroup were the IPOs lead underwriters.

Bumble traded at $71.89 per share as of 1:07 p.m. ET Thursday.

Read more: Bank of America shares 9 stocks to buy as the pandemic prompts consumers to shift their spending habits towards 'solitary leisure' activities like golf and biking

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