One day, the Prophet ﷺ went out to the valley of Al-Batha. He climbed to the peak of its mountain and exclaimed, “O people, come at once!” Hearing this, most of the Quraysh assembled at the foot of the mountain to hear what the Prophet ﷺ was about to say. Our Prophet ﷺ, once he saw that most of the people including the chiefs were present, he said, “If I told you all that the enemy was going to attack you in the morning, or in the evening, would you all believe me?” The people at the bottom of the mountain just said “Yes, we will believe you.” Then our great Prophet ﷺ said, “Verily, I am a warner sent to you all, before the coming of a severe torment.” Out of the blue, Abu Lahab shouted in anger, “Have you gathered us for this? May you perish!” Everyone left the scene after that. Allah then revealed the ayah, “Perish the two hands of Abu Lahab and perish he!” (111:1)
There was also an event where the Prophet ﷺ began preaching the message of Islam in one of the markets. He exclaimed, “O people! Say there is no god worthy of worship except Allah, and you will be successful.” Meanwhile, an older man was following him around. He said, “Verily, he is an apostate from our religion and a liar!” The older man was none other than Abu Lahab. Whenever he followed the Messenger of Allah ﷺ, he would whisper to the people around him, “This fellow wishes only to get you to strip off Al-Lat and Al-Uzza from your necks and your allies of the Malik ibn Uqaysh tribe for the misleading innovation he has brought. Don’t obey him and take no notice of him.”
Once, when he saw his nephew, the Messenger of Allah ﷺ preaching, Abu Lahab said arrogantly, “Even if what my nephew says is true, I will ransom myself from the painful torment on the Yawm al-Qiyamah with my wealth and my children.” Allah then revealed the ayah “His wealth and his children will not benefit him!” (111:2)
When the first verse of Surah al-Masad had been revealed, Umm Jamil came running out of her house, saying, “He criticizes our father, and his religion is our scorn, and his command is to disobey us!” She held a stone, and was ready to throw it at the Prophet ﷺ, who was sitting next to the Ka'bah with Abu Bakr as-Siddiq. When Abu Bakr saw her, he exclaimed to the Prophet ﷺ, “O Messenger of Allah! She is coming and I fear that she will see you!” The Prophet ﷺ was calm, and he replied, “Verily, she will not see me.” Then he recited some verses of the Qur'an as a protection for himself. Umm Jamil came around, until she was standing in front of Abu Bakr and she did not see the Messenger of Allah ﷺ. She then said, “O Abu Bakr! Verily, I have been informed that your friend is making defamatory poetry about me!” Abu Bakr replied, “Nay! By the Lord of the Ka'bah, he is not defaming you.” So she turned away saying, “Indeed the Quraysh know that I am the daughter of their leader.”
After the Battle of Badr had commenced, the surviving Quraysh warriors came back to Makkah and informed the pagans that the Muslims had won, with the help of Allah's Angels, peace be upon Them. Abu Lahab was furious. A while later, Abu Lahab was walking to his home, when he heard two people, a freedman and a woman, rejoicing that the Quraysh had been defeated by the Muslims with the help of Angels. Abu Lahab was ticked off, and he went to to the freedman and beat him up severely. However, the woman took a nearby tent pole and struck Abu Lahab on the head until it was split open, revealing part of his skull! The wound turned infectious, and his entire body erupted into open pustules. He became bedridden. A week later, he succumbed to his illness, and he died, his body rotting and smelly. May Allah ruin him!
Abu Lahab's son, Utbah, and his daughter, Durrah, would become Muslims eventually. Durrah became a narrator of Hadith. Some of the Ahadith narrated by her can be found in the Musnad of Imam Ahmad ibn Hanbal, a collection of Hadith compiled by the founder of the Hanbali madhab.
Allah says in the Qur'an; “Perish the two hands of Abu Lahab and perish he! His wealth and his children will not benefit him! He will enter a Fire full of flames! And his wife too, who carries wood. In her neck is a twisted rope of Masad.” (Surah al-Masad, also known as Surah Lahab)
Sources
Holy Qur'an - Surah al-Masad
Ibn Kathir - Tafsir on Surah al-Masad (ayah 1-5)
Ibn Sa'd - Tabaqat al-Kubra (volume 1)
Ibn Ishaq - As-Seerah an-Nabawiyyah