Breaking: Facebook Offering 50.6 Million Extra Shares For IPO, Confirms $34-$38 Price Range

Posted on May 15 2012 - 10:56am by Editorial Staff

Things do not require much time to make it happen, I guess you all do understand for whom I am talking about and if you are not, then let me tell you, I am talking about Facebook IPO. We reported earlier that the social giant expected to refile its IPO tomorrow (means today) at a valuation between $92-$103 billion, means per share value would be between $34-$38. And, now turning the lights on, Facebook has just filed a seventh amendment to its S-1.

Here is what the seventh amendment says:

  • Facebook, Inc. is offering 180,000,000 shares of its Class A common stock and the selling stockholders are offering 157,415,352 shares of Class A common stock. We will not receive any proceeds from the sale of shares by the selling stockholders. This is our initial public offering and no public market currently exists for our shares of Class A common stock. We anticipate that the initial public offering price will be between $34.00 and $38.00 per share.
  • We have two classes of common stock, Class A common stock and Class B common stock. The rights of the holders of Class A common stock and Class B common stock are identical, except voting and conversion rights. Each share of Class A common stock is entitled to one vote. Each share of Class B common stock is entitled to ten votes and is convertible at any time into one share of Class A common stock. The holders of our outstanding shares of Class B common stock will hold approximately 96.3% of the voting power of our outstanding capital stock following this offering, and our founder, Chairman, and CEO, Mark Zuckerberg, will hold or have the ability to control approximately 57.3% of the voting power of our outstanding capital stock following this offering.
  • Our Class A common stock has been approved for listing on the NASDAQ Global Select Market under the symbol “FB.”

Well, now what to expect more as it’s time for pouring money in one sense, but a recent article “Facebook IPO? Most Stock Jocks Say ‘No’” on CNBC states some different story. We do agree that there is a rise in price per share value but still the question grasping almost every investor that whether to invest or not but although running and reading from edge to edge, while reading different reports on internet, what one “common” thing comes to notice is that every person want at least a part of pie.

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Editorial Staff

Editorial Staff at I2Mag is a team of subject experts led by Karan Chopra.