The world’s largest social networking site, Facebook has raised up the price of its initial public offering (IPO) and plans to charge for shares at its stock market debut, giving the leading social network a value that could top $100 billion.
Facebook will trade under the symbol “FB” on the technology-heavy Nasdaq. Trading is expected to begin on Friday. Under a dual-class stack structure, Facebook founder and chief executive, Mark Zuckerberg, retains 57.3 percent of the voting power of the shares.
Facebook increased the share price to 21% just before in its much awaited public offering for its shares on Thursday.
The social network earlier this week raised the price almost 21% which is increased for its IPO to $34 to $38 a share, from $28 to $35 a share, in a sign of investor appetite for the offering. The initial price range put Facebook’s valuation at $77 billion to $96 billion, but that rises to $93 billion to $104 billion under the new range as investor interest ramps up.
Facebook now became the second largest as per potential offering size which is now $18.4 billion.
At the higher end of the price range, Facebook could raise nearly $15 billion through the stock sale, with a large chunk of the cash going to its early backers and employees compensated with stock. Facebook was already assured of becoming the most valuable US Web company at the time of an IPO, topping Google’s $23 billion valuation in 2004.
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