This might not be the first time that we have heard of Facebook’s interest to go public and enter the stock market, but this keeps on delaying because of the fact that Facebook wants to keep its employees focused to product development more than anything else. However, recent news suggests that Facebook will soon be making this very much awaited move and this is expected to happen between April and June 2012. This report was made by The Wall Street Journal just recently.
According to the said report, Facebook is considering a $ 10 billion increase in an IPO that could give it a value of more than $ 100 billion in the long run. This valuation is quite consistent ever since June. Aside from this, there are also some rumors that the public offering is now being planned at a later date, but Facebook representatives could not be reached in order to confirm whether there is a truth to this rumor. As of present, Facebook is estimated to have a value of around $ 66 billion and its 2010 revenue has been estimated to be in the $ 4 billion range.
Aside from Facebook, Groupon and Zynga have also expressed their intentions of delaying their IPO launch because of the volatile stock market. A Facebook IPO has been anticipated for several years already and now that the company is getting closer to getting public, a lot of interested investors might be preparing already. However, there are also some people that question the timing of going public by Facebook considering the fact that a lot of issues about IPOs have been raised lately.
Facebook CEO Mark Zuckerberg has expressed its hesitations on going public and wants to keep Facebook private as much as possible. However, Facebook is also having some internal discussions regarding some issues with the Securities and Exchange Commission, but has not made any final decision yet as of present. Most companies who wish to go public usually want to have around $ 100 million in revenue and it will not be difficult for Facebook to achieve it.
So let us just wait and see whether this will push through as plan or not.
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Tags: facebook, facebook april 2012 ipo, facebook ipo, facebook ipo rumor, facebook ipo valuation, facebook valuation
