Coming Soon: Facebook IPO At $100 Billion
June 13, 2011 at 11:13 AM (PT)
Dominant social network FACEBOOK is expected to go public in the first quarter of 2012, with a valuation that could top $100 billion, CNBC reports. The IPO is expected to be timed when FACEBOOK attracts more than 500 investors, which is an SEC requirement for an offering.
Current employees are also pushing for an IPO because internal restrictions prevent them from selling their private shares on the secondary market. SHARESPOST, a private exchange that buys shares of non-public companies, last sold 100,000 shares of FACEBOOK for $3.4 million, which put the company's valuation at $85 billion.
Some heavy hitters have recently invested in FACEBOOK. GOLDMAN SACHS bought a $1.5 billion piece of the company on behalf of its clients, after which GENERAL ATLANTIC bought one-tenth of one percent in a deal that valued the company at $65 billion -- meaning FACEBOOK's value had increased by 30% in the six weeks between the aforementioned deals.