Don't miss

Replay


LATEST SHOWS

EYE ON AFRICA

Nigerian elections: early results show close race

Read more

MEDIAWATCH

"Slap in the face" for Socialists in French local elections

Read more

EYE ON AFRICA

Nigeria: Millions prepare to go to the polls on Saturday

Read more

DEBATE

Nigeria: And the winner is... Tense wait for election results (part 2)

Read more

DEBATE

Nigeria: And the winner is... Tense wait for election results (part 1)

Read more

Access Asia

2015-03-30 17:45 ACCESS ASIA

Read more

ENCORE!

Jeanne Added on her classical pop-crossover

Read more

BEYOND BUSINESS

Race of ideas: is the US pulling away from France?

Read more

REVISITED

Video: A wind of freedom blowing in Kuwait

Read more

Business

Facebook aims to raise up to $12 billion in record IPO

Text by News Wires

Latest update : 2012-05-03

Facebook, Inc. plans to raise as much as $12 billion in Silicon Valley's largest-ever initial public offering on Thursday, with shares going for $28 to $35 and investors expected to turn out en masse.

REUTERS - Facebook Inc plans to raise as much as $12 billion in Silicon Valley's largest IPO, dwarfing the coming-out parties of tech companies like Google Inc and granting the world's largest social network a market value close to Amazon.com's.

The eight-year-old social network that began as Mark Zuckerberg's Harvard dorm room project priced its initial public offering at between $28 and $35 a share on Thursday, attaining a valuation of as much as $95.9 billion at the high end.

If an over-allotment or "greenshoe" option is triggered, the company could end up raising close to $13.6 billion, according to a Thursday prospectus.

Investors are expected to flock to the highly anticipated IPO, though some have voiced concerns about the social network's longer-term growth.

Last week, Facebook reported its first quarter-to-quarter revenue slide in at least two years, a sign that the social network's sizzling growth may be cooling just as it prepares to go public. Its stock should begin trading in about a week or two.

Facebook, which plans to list its stock on the Nasdaq under the ticker "FB", will begin meeting with investors on Monday.

Facebook's capital-raising target far outstrips big Internet IPOs that came before it. Google raised just shy of $2 billion in 2004, while last year Groupon tapped investors for $700 million and Zynga raked in $1 billion.

At close to $100 billion, Facebook's capitalization will rival Amazon.com's and Cisco Systems Inc's market values of just over $100 billion, while surpassing those of older technology companies such as Hewlett-Packard Co and Dell Inc put together.
 

Date created : 2012-05-03

  • INTERNET

    Five questions on Facebook's IPO

    Read more

  • BUSINESS-TECHNOLOGY

    Facebook embarks on largest-ever US tech IPO

    Read more

  • Facebook

    Facebook settles privacy case with FTC

    Read more

COMMENT(S)