Facebook’s Instagram Acquisition Received ‘Second Request’ From FTC

Posted on May 30 2012 - 4:43am by Editorial Staff

With Facebook’s share price continuously falling down with the last closed at $28.84, down by 3.07 points and nearly has closed 10 percent lowers. The lower in share price is what affecting the most social giant’s recent Instagram acquisition is. Reuters citing “source” reports that Facebook has received notice that US antitrust regulators will give Facebook proposed acquisition a lengthy investigation. The company has received a “second request” from the Federal Trade Commission.

The social giant experiencing a huge decline in its share value, as even on day 1 of trading the company ends the day at $38.37, up by 0.37 (0.97%) – almost the actual price the company sets, making the company total valuation to $104 billion with an $18.4 billion initial public offering. Facebook starts its first day of trading with $42.12 per share price, up 4 points (10.23%), with later half did the trading at $38 and it remains stable most of the day.

Facebook even in its seventh amendment for its IPO filing also said that the numbers for its Instagram purchase have changed yet again, means the deal will not close in Q2. The social giant has removed $1 billion Instagram acquisition this quarter. The total deal was: 30% cash, 70% stock and Stock valued at ‘north’ of $75 billion.

(Image Source: Google Play)

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Editorial Staff

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