I=9 Bumble secures $475M Term Loan at aroud 11% interest, 4-year maturity, 12.5-15% amortization, leverage ratio of <3x and early prepayment penalties
The loan carries interest at either Base Rate + 7.0% or SOFR + 8.0%.
The loan is amortized at 12.5% per year of the original loan amount during the first year of payments and 15.0% per year of the original loan amount for all subsequent years.
The agreement includes a leverage covenant, requiring total leverage to stay at or below 3.0x initially, stepping down over time to 2.0x by mid-2028, and a minimum liquidity requirement of $25 million for the first 5 months, rising to $50 million thereafter.
Early repayment penalties apply: a make-whole premium if repaid within the first 2 years, and a 4% penalty if repaid between years 2 and 3.
The loan is secured by company assets and guarantees, includes mandatory prepayments from certain cash sources, and is accompanied by a $50 million revolving credit facility maturing in 2030.
Assessment
A leverage covenant of 3.0x, stepping down to 2.0x over time, may limit Bumble’s ability to take on additional debt, especially if business conditions do not improve in the near term. This could constrain financial flexibility, as the company is also required to make meaningful annual repayments of around 12.5% to 15% of the $475 million loan (approximately $60–70 million per year). However, Bumble generated about $250 million in operating cash flow in 2025 and had a leverage of around 2x at the end of 2025(debt of $582 m and adjusted EBITDA of $313 m), which helps support these obligations. Therefore, if business conditions do not deteriorate materially, Bumble’s financial position should be sufficient in the near-term.
Given the current Base Rate is 3.75% and SOFR is around 3.6%, the interest rate on the loan is around 11%.
I=8 Jon Korngold, member of Bumble’s Board of directors representing Blackstone will leave Blackstone as the growth equity business is folded
Blackstone will fold its growth equity business, replacing it with Blackstone N1, a new division focused on AI investments such as OpenAI and Anthropic PBC.
“AI is reshaping every business at the firm, and we need a dedicated, focused team positioned at the center of this critical area to further bolster our current presence on the West Coast, where the most innovative AI and technology companies are being built,” Chief Executive Officer Steve Schwarzman and President Jon Gray wrote in the memo.
Jon Korngold, who has been heading the growth equity business will leave the company.
Korngold has been a member of Bumble’s Board of Directors since 2020 when Blackstone invested $3 B in Bumble.
The decision follows recent significant disposal of Bumble shares by Blackstone (Notion).
Assessment
The restructuring of Blackstone’s equity division and Korngold’s departure may signal Blackstone will continue disposing off Bumble’s shares. However, Bumble is one of the companies that’s increasingly tapping into the benefits of AI, hence Blackstone may continue to keep its position. But I think the possibility of disposing off the shares is higher than rolling them into the new vehicle.
I=8 Apple loses its appeal against a court ruling allowing third-party direct payments, a win for Bumble and Match Group
The decision means Apple must continue allowing developers to link third-party paymenst without charging commissions.
Apple already plans to take the case to the Supreme Court, which already rejected to hear the case where Apple challenged a court rulling allowing developers to link to external payment options.
The ruling is a win to Bumble and Match Group, which started providing direct payments at the end of last year.