Sun 5th Feb by Hatti Dingle
Five Billion Dollar Facebook
Facebook is planning to float itself on the stock market, initially hoping to raise $5bn, half of the expected sum. In filing for its initial public offering (IPO) with the US Securities and Exchange Commission, Facebook revealed that in 2011 its net income increased 65% to $1bn from overall revenue of $3.71bn. It was also shown the Mark Zukerberg, Facebook’s founder, owns 28.4% of the company.
If Facebook raises the $5bn it expects, it will be the largest IPO ever by an internet company, outstripping Google, who raised $1.67bn in 2004. The social networking phenomenon’s well reported aims are to get everybody in the world on Facebook, and these documents reveal that currently there are 845 million monthly users and 443 million daily users.
Unofficial valuations of Facebook put its worth at around $100bn, with its money coming from online advertising. Before now, Facebook has never had to publish its accounts, as it has been a private company.