It?s Official! Facebook Files For $5 Billion IPO

[Bretteo]

After being in the pipeline for quite some time, Mark Zuckerberg’s Facebook has taken the long anticipated plunge and filed to go public with the company’s eagerly anticipated initial public offering (IPO).
The technology world has been waiting patiently for what has been the most anticipated IPO since Google in 2004, with Facebook looking to raise approximately $5 billion. It remains to be seen whether or not how the capital will be raised, but if the world’s largest social network succeeds, then it would value the company at approximately $100 billion, or 26th in the world, just behind the golden arches of McDonald’s.





Facebook is eight years old, and for the first time laid out details of their finances with the company bringing in approximately $4.3 billion of revenue last year. With 850 million registered and active members, half of the United Kingdom’s population are registered users of the network and it is clear that it is the user-base which provides the value.
The underwriting of the deal will handled primarily by leading investment bank Morgan Stanley, with additional responsibilities being given to Goldman Sachs and J.P. Morgan. With shares expected to be traded as early as May 2012, the question I’m sure people are asking themselves is, is Facebook really worth $100 billion? Even at the lowest end of the expected valuation, it would value the social network at more than the Disney Corporation.

Research firm eMarketer estimate that Facebook’s ad revenue will rise to $7 billion by 2013 after they have already overtaken Yahoo! in terms of ad revenue, which may seem like a lot of income purely from ads alone, but when compared with Disney’s revenues of $40 billion and Google’s $37.9 billion, it pales into insignificance.

One of the many benefits of the IPO for Facebook will be the immediate cash generation, allowing the company to pay off early investors and possibly invest in acquiring smaller companies to grow their product portfolio. Google used the cash that their initial public offering generated to purchase companies like YouTube and DoubleClick which dramatically increased their business.

All eyes will be eagerly fixed on developments with long time Facebook fans waiting to see just what kind of numbers Mark Zuckerberg’s company can generate.



[via Redmondpie]

Bretteo Reviewed by Bretteo on 2nd Feb 2012. It?s Official! Facebook Files For $5 Billion IPO After being in the pipeline for quite some time, Mark Zuckerberg’s Facebook has taken the long anticipated plunge and filed to go public with the company’s eagerly anticipated initial public offering (IPO). The technology world has been waiting patiently for what has been the most anticipated IPO since Google in 2004, with Facebook looking to raise approximately $5 billion. It remains to be seen whether or not how the capital will be raised, but if the world’s largest social network Rating: 5

[Sonic]

Twitter: Respect, clean without ads
Facebook: its Crap. Mark Zuckerberg is making billions with Facebook Ads. I dont know how people is so stupid visiting this social network.

[nForc3r]

Hows making money a stupid thing ?

[barcodenation]

If I were in his shoes I'd probably do the same thing. More money is more money plain and simple....

Besides with the way social sites are there's no telling how long facebook will last. One small thing could kill the entire site. Might as well make the money while he can and if it stays around for a long time so be it.

[ShareShiz]

dot com bubble .. take 2



... i can just imagine..
day 1 .. stock takes a huge spike.
day 2 .. stock takes a huge dip.
day 3 .. stock takes an even bigger dip.
day 4 and beyond .. stock is flat.

[foxman]

... i can just imagine..
day 1 .. stock takes a huge spike.
day 2 .. stock takes a huge dip.
day 3 .. stock takes an even bigger dip.
day 4 and beyond .. stock is flat.

Day 0: Finalize loan from RBS, HSBC or whateva!
Day 1: Buy 5 billion $ stock, buy half the shares... and sell later
Day 2: Sell the for the other half
Day 3 : Same
Day4 : Reap your Profits!

[ShareShiz]

wont happen like that.

there will be a huge spike before you can even get in. stockbrokers and other wallstreet fags will get in first, make a shit load of money off all you fools thinking you can win big from facebook stock, and then sell their shit leaving you high and dry with no more shares.

shit happens all the time. why you think everyone is poor and everyone on wallstreet is rich as fuck.


... be funny if anonymous ddos NYSE on their opening day though lol.

[silvia]

since so many fans of facebook out there, i think they'll get enough supporters. in fact, currently there's no other platform can replace facebook with just a click.

[crazybana]

If they dont go into offering solutions which are concrete such as cloud based services its quickly going to fade off, and afer all it is a .com company....

[Drinkordie]

If I were in his shoes I'd probably do the same thing. More money is more money plain and simple....

Besides with the way social sites are there's no telling how long facebook will last. One small thing could kill the entire site. Might as well make the money while he can and if it stays around for a long time so be it.

Yeah, mo money is mo money, simple [trollolol]

[ame]http://www.youtube.com/watch?v=7jukQX2pl2Q[/ame]

I hate FB, it's most useless crap on earth. Just likes, fans and fucking profile updates , - "I just ate sandwich ,Hurrah" - 109289181 people like this !