Facebook’s Biggest Shareholders Selling As Much As Half Of Their Stakes, Says WSJ

Posted on May 16 2012 - 4:14pm by Editorial Staff

We reported earlier that Facebook tend to increase its share volumes by 25% and with the social giant’s eight amendments, the company increased its initial public offering range from $28-$35 to $34-$38 per share, and offered 50.6 million more shares. Facebook is now offering 180,000,000 shares of its Class A common stock and the selling stockholders are offering 241,233,615 shares of Class A common stock.

The Wall Street Journal reports that some of social giant’s biggest shareholders are now selling as much as half of their stakes in the company. Goldman Sachs and Tiger Global now plan to sell as much as 50% of their stakes, up from 23% and 7%, respectively. DST Global, a Russian investment firm run by Yuri Milner, and its sister company Mail.ru is now selling 40% of their stakes, up from 23% previously. The two Russian firms would now raise about $2.5 billion if the IPO prices at $38 a share.

Among Facebook directors James Breyer and his venture capital firm Accel Partners, will now be selling 49 million shares, up from 38 million shares, would raise $1.8 billion. Venture capitalist Peter Thiel, company’s board member and one of Facebook’s first investors, now intends to offer 16.8 million shares in the IPO, more than double what was previously anticipated.

Facebook IPO: Coverage and Analysis

Now, here’s a look at Facebook’s selling stockholders, and how much money their stock will be worth at the high end of the IPO’s expected price range.

Mark Zuckerberg

  • Number of shares being offered: 30.2 million
  • Value at $38 per share: $1.15 billion

James Breyer and Accel Partners, where he’s a partner

  • Year invested in Facebook: 2005
  • Number of shares being offered: 38.2 million
  • Value at $38 per share: $1.45 billion

Peter Thiel, managing partner at The Founders Fund and PayPal co-founder

  • Year invested in Facebook: 2004
  • Number of shares being offered: 7.7 million
  • Value at $38 per share: $294 million

DST Global Ltd. and affiliates, a London-based, Russian-founded investment firm focused on Internet companies and founded by Yuri Milner

  • Year invested in Facebook: 2009 and late 2010
  • Number of shares being offered: 26.3 million
  • Value at $38 per share: $998 million

Goldman Sachs and affiliates, investment bank and one of the IPO’s underwriters

  • Year invested in Facebook: 2011
  • Number of shares being offered: 13.2 million
  • Value at $38 per share: $501 million

Elevation Partners, private equity firm focused on media and technology and affiliates

  • Number of shares being offered: 4.6 million
  • Value at $38 per share: $176 million

Greylock Partners, Silicon Valley venture capital firm and affiliates

  • Year invested in Facebook: 2006
  • Number of shares being offered: 7 million
  • Value at $38 per share: $266 million

Mail.ru Group Ltd., Russian Internet Company

  • Year invested in Facebook: 2009
  • Number of shares being offered: 11.3 million
  • Value at $38 per share: $428 million

Mark Pincus, Zynga Inc. CEO

  • Year invested in Facebook: 2004
  • Number of shares being offered: 1 million
  • Value at $38 per share: $38 million

Meritech Capital Partners, venture capital firm focused on late-stage investments

  • Number of shares being offered: 7 million
  • Value at $38 per share: $266 million

Microsoft Corp.

  • Year invested in Facebook: 2007
  • Number of shares being offered: 6.6 million
  • Value at $38 per share: $249 million

Reid Hoffman, co-founder of LinkedIn Corp. and affiliates

  • Year invested in Facebook: 2004
  • Number of shares being offered: 942,784
  • Value at $38 per share: $36 million

Tiger Global Management, New York-based investment firm

  • Number of shares being offered: 3.4 million
  • Value at $38 per share: $128 million

Other, smaller stockholders are offering another 70,504 shares.

  • Value at $38 per share: $2.7 million
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Editorial Staff

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