Facebook looking at $100 billion IPO in first quarter of 2012, reports say (Video)By Ma. Maureen Pascual on Jun 14, 2011 in Business, Opinion, Technology, United States •
Facebook’s Mark Zuckerberg
Image Credit: Spencer Platt/Getty Images
Facebook, the social-networking giant, is expected to hold a highly anticipated IPO (Initial Public Offering) come first quarter of 2012 with a valuation of more than $100 billion, as reported by US news sites, June 13, 2011.
According to reports, the possibility of the company’s IPO could well be started because of “the 500 rule,” a section of the 1934 Securities and Exchange Act which orders that once a private company has more than 500 investors, it must do like what public companies do, which is to release quarterly financial information to the Securities and Exchange Commission.
Apparently, Facebook is about to attain its 500-investor threshold this year, so an IPO in early 2012 is very likely.
Related report reveals that, a spokesman from Facebook did not comment on any time table or details of an IPO.
Likewise, it was noted that last month in a conference, chief operating officer Sheryl Sandberg said that Facebook IPO is “inevitable” and that it is “the next thing that happens.”
Report further claims that, Goldman Sachs, a top American investment banking and securities firm, is hotly in pursuit to manage the lucrative offering.
As told, Facebook, with its more than 500 million users, is one of the world’s most well-known social network sites and is generating much anticipation for an IPO in Wall Street.
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