Facebook closes IPO at $38 a share

Social network will raise $16 billion, company valued at $104 billion

Facebook has closed its IPO with a share price at the high end of its expectations.

The company's stock will be listed on the NASDAQ as of today under the ticker symbol FB. Shares will be priced at $38 each, with more than 421.2 million shares available - 180 million of new stock, and the rest from existing stockholders.

If Facebook sells all of its shares - which is widely expected - the company would raise $16 billion, and value the company at $104 billion. The company's current owners will release a further 63.2 million shares if the IPO's under-writers deem it necessary.

Founder and CEO Mark Zuckerberg will sell around $1.2 billion in stock, though he will retain control of the company with his 580 million remaining shares.

Facebook was due to offer 337.4 million shares at a range of $28 to $35 each, but enormous demand from investors prompted the company to release another 25 per cent and raise the price.

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Latest comments (3)

Bruce Everiss Marketing Consultant 4 years ago
This is interesting. Is it a bubble that will be eaten up by Pinterest, Flurry, G+ etc?

Or is there real value as they improve their mobile offering, sell their own hardware etc etc?

It will be interesting to see what happens to the share price if they get into countries they are currently banned in, like China, Vietnam and Pakistan.
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Craig Page El Presidente, Awesome Enterprises4 years ago
Maybe Mark will spend some of his $1,200,000,000 to remove that giant mole on his cheek. Or maybe to buy a new microphone that doesn't look like a giant mole.
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Greg Wilcox Creator, Destroy All Fanboys! 4 years ago
Eh, he'll just make a veil out of money to cover that thing up...
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