Glancy Prongay & Murray LLP (“GPM”), a leading national shareholder rights law firm, announces that a class action lawsuit has been filed on behalf of investors who purchased or otherwise acquired Bumble Inc. (“Bumble” or the “Company”) (NASDAQ: BMBL) Class A common stock pursuant and/or traceable to the Registration Statement issued in connection with the Company’s September 2021 secondary public offering (“SPO”). Bumble investors have until March 25, 2022 to file a lead plaintiff motion.
If you suffered a loss on your Bumble investments or would like to inquire about potentially pursuing claims to recover your loss under the federal securities laws, you can submit your contact information at www.glancylaw.com/cases/bumble-inc/. You can also contact Charles H. Linehan, of GPM at 310-201-9150, Toll-Free at 888-773-9224, or via email at firstname.lastname@example.org to learn more about your rights.
Bumble conducted its Secondary Public Offering (“SPO”) in September 2021. 20.7 million shares of Class A common stock were sold in the SPO at $54 per share.
On November 10, 2021, Bumble announced its financial results for the third quarter of 2021, revealing that the Company’s total paying user count had declined to 2.86 million, well below the 2.9 million users reported in the SPO registration statement.
On this news, Bumble’s share price fell $9.19, or 19.2%, to close at $38.56 per share on November 11, 2021, injuring investors. By January 25, 2022, Bumble shares have traded below $27 per share, less than half of the original SPO price.
The complaint filed in this class action alleges that the SPO registration statement made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Bumble’s paying user growth trends had abruptly reversed in 3Q21 and Bumble had actually lost tens of thousands of paying users during the quarter; (2) paying users had been more reluctant to sign up for the Bumble app during 3Q21 because of the recent price hike for paid services on the app; (3) a material number of paying users were leaving the Badoo app and/or could not make payments through the Badoo app due, in substantial part, to problems arising from Bumble’s transition of its payment platform; and (4) as a result, Bumble’s business metrics and financial prospects were not as strong as the registration statement had represented.
If you purchased or otherwise acquired Bumble Class A common stock during the Class Period, you may move the Court no later than March 25, 2022 to ask the Court to appoint you as lead plaintiff. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Charles Linehan, Esquire, of GPM, 1925 Century Park East, Suite 2100, Los Angeles California 90067 at 310-201-9150, Toll-Free at 888-773-9224, by email to email@example.com, or visit our website at www.glancylaw.com. If you inquire by email please include your mailing address, telephone number and number of shares purchased.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.