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Facebook IPO Details: 50 Million Extra Shares, $34-$38 Launch Price

facebook_logo_10.jpg Another dollar on that price would see Facebook raising over $15 billion. However, the soon-to-be public company will settle for raising between $13 to $14.7 billion, after publishing an updated S-1 form, making its overall value somewhere between $94 and $100 billion.

Facing the Numbers

Facebook's figures from a new S-1 filing with the SEC are up from a $28-$35 per share range published earlier.  With massive demand for the shares, that range could yet be pushed higher, further increasing the value of the company, but raising the risk of a quick comedown, after the initial hype has waned.

The company will trade under the "FB" stock ticker on Nasdaq, with public trading likely to start on Friday if all goes well. The company has pushed out a number of new products and initiatives recently to raise its profile and to convince investors it has good revenue streams going forward.

The latest of those is its App Center plans that will see it complement and compete with the likes of Apple's App Store and create a hub for web apps that can run on smartphones, where a lot of Facebook users are headed.

Big Gains Ahead

A lot of focus has fallen on Facebook co-founder Eduardo Saverin who has renounced his U.S. citizenship to save a massive tax bill on his profits from the IPO. Fair enough, the guy lives in The Philippines and has no intention to move back to the States. That leaves Mark Zuckerberg as the big winner, plus the banks (of course) who will make quick fortunes on the sale of shares.

Looking ahead, to the running of the company as a public entity, the LA Times has a piece on how Facebook needs to figure out its advertising strategy and getting marketers on-board. GM is currently making waves by pulling its advertising from Facebook, according to the WSJ, which could be the start of an alarming trend.

The U.K.'s Financial Times points out that the company needs to rapidly address the growing smartphone-first market. That article suggests the public Facebook could go on an acquisition spree to pick up mobile talent to create a platform better suited to getting content and advertising across to iPhone and other smartphone users.

 

Best of all from the world's press comes this animation from The Guardian that shows the growth of Facebook and just how big that $100 billion really is.

 
 
 
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