Facebook, the world’s largest social networking website, facing a three-day suspension of trading on secondary market this week, Bloomberg reported. The company which is heading towards its giant Initial public offering of $100 billion – that is due for late may.
Transactions won’t be processed by Facebook’s attorneys at Fenwick and West LLC – starting from today till January 27. The social networking site is facing a three-day suspension of trading on secondary markets this week.
“Facebook and companies who do this don’t want to expose themselves to lawsuits related to the fact that some people had it before others and were able to trade on it,” said Hamadeh, whose firm provides research on more than 30,000 private companies. “The best way to protect yourself is to have no one able to trade.”
The company on SharesPost’s website is valued at $73.4 billion, an estimate that takes into account transaction prices, further research estimates and valuations. As per the SharesPost, the last contract listed was completed at $34.50 a share, or an implied valuation of $82 billion.