Facebook plans early 2012 IPO, say sources

Facebook logoFacebook is reportedly set to go public in early 2012, becoming the latest company to cash in on what seems to be a renewed frenzy surrounding technology stocks. Likely to be one of the hottest IPOs so far, experts believe that the company could reach a valuation of $100 billion.

A recent private sale of a large chunk of shares -- about 100,000 -- gave a valuation of about $85 billion. An IPO and the surrounding buzz would push the valuation even higher, experts believe. The news follows Groupon, which announced its IPO earlier this month, and LinkedIn, which started trading publicly last month.

CNBC reported on the news Monday, saying that pressure was mounting within the company to offer stock on the public market. While Facebook does offer shares in the company internally, financial regulations limit how these employees can sell their private shares publicly.

The company is waiting to go public due to the fact that it is approaching a threshold set by the Securities and Exchange Commission. When a company has more than 500 private investors, it is required to release financial data publicly.

No doubt, at that point it just would make sense for Facebook -- or any other company for that matter -- to just go public. The social networking site expects to reach that threshold by the end of the year, sources told the financial television network.

With Facebook now seemingly moving forward with its plans to go public, the only other major web property left is Twitter. Many experts believe that will also happen within the next year or so. But the microblogging site may be waiting to feel out the market, too.

Recent data on the economy has not been too promising, fueling fears of a double-dip recession or worse. Add to this the "bubble" feel of the rush among technology companies to seek public investment, and going public may not seem as good of an idea as some would believe.

Source: Betanews

Tags: Facebook, social networks

Add comment

Your name:
Sign in with:
Your comment:

Enter code:

E-mail (not required)
E-mail will not be disclosed to the third party

Last news

You can use a security key instead of having a code sent to your phone
Adobe says that the AI can now achieve the intended result in seconds
A new security protocol replacing the aging WPA2
Download and install at your own risk, of course
More iPhone parts likely to be produced by Samsung
Starting on Friday, video views on YouTube will start to be counted by the Official Charts Company
LG has already announced two new V-series members in 2018
The method is blocked and the hack doesn’t work, it adds
The Samsung Galaxy A5 (2017) Review
The evolution of the successful smartphone, now with a waterproof body and USB Type-C
February 7, 2017 /
Samsung Galaxy TabPro S - a tablet with the Windows-keyboard
The first Windows-tablet with the 12-inch display Super AMOLED
June 7, 2016 /
Keyboards for iOS
Ten iOS keyboards review
July 18, 2015 /
Samsung E1200 Mobile Phone Review
A cheap phone with a good screen
March 8, 2015 / 4
Creative Sound Blaster Z sound card review
Good sound for those who are not satisfied with the onboard solution
September 25, 2014 / 2
Samsung Galaxy Gear: Smartwatch at High Price
The first smartwatch from Samsung - almost a smartphone with a small body
December 19, 2013 /

News Archive



Do you use microSD card with your phone?
or leave your own version in comments (11)