IAC issued a statement calling the suit "meritless" and saying it would "vigorously defend" itself against it.
The statement said that Rad and other former executives who left the company a year or more ago "may not like the fact that Tinder has experienced enormous success following their respective departures, but sour grapes alone do not a lawsuit make." Tinder's 2017 valuation was set at $3 billion, unchanged from a valuation that had been done two years earlier, despite rapid growth in revenue and subscribers.
"We're here to preserve our rights and to fight for what's right, for what was promised us." The suit does not offer an alternative valuation, and when asked by CNN, Rad refused to give an estimate other than to say it was "multiples" of the $3 billion figure.
The suit seeks at least $2 billion in damages, and according to the suit the plaintiffs' options accounted for more than 20% of the company.
Bumble also claims Match committed promissory estoppel by promising an investment that never materialized, and that it disparaged Bumble in the lawsuit and in the press.