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Bumble Hid Drop in Paying Daters Before Offering, Investors Say

Jan. 25, 2022, 8:53 PM

Bumble Inc. misled investors about the loss of paying dating app users ahead of its 2021 secondary public offering, a new suit alleges in federal court in New York.

The company, which owns online dating platforms Bumble and Badoo, didn’t disclose how its “previous favorable paying user growth trend had abruptly reversed” in the fiscal quarter leading up to the Sept. 10 offering, according to the investor complaint filed in the U.S. District Court for the Southern District of New York.

Bumble increased pricing for its namesake app too much during the quarter, which cut down on how many users ...