Tag Archives: IPO
Facebook must change after IPO
Priced at $38 a share on Thursday, the 8-year-old social-networking company, fronted by hoodie-wearing CEO Mark Zuckerberg, could raise $16 billion in funding, not including an overallotment option. It could end its first day of trading worth up to $104 billion. That would make it worth more than Disney, Ford and Kraft Foods. It would be the second-largest U.S.-listed IPO behind only Visa. Facebook’s market debut, the biggest tech company IPO ever, should create 1,000 millionaires overnight.
The mega-offering signals a seminal event in the Internet’s maturation as a fundamental cog in the world economy, says Dave Morin, CEO of Path, a social network of 3 million and a former Facebook executive. “It sets the tone for long-term, product-driven Internet companies,” he says.
Internet greets Facebook’s IPO price
(CNN) — Friends may be priceless. But ‘friending’ is worth $38 a share.
That’s what Facebook set as the initial price when its stock begins trading on Wall Street Friday morning. That’s at the top end of the range analysts were expecting and gives the company a valuation of roughly $104 billion.
That stock price will be the biggest opening ever for a tech company and the third-largest IPO in history — behind only Visa and Italian utility company ENEL.
Why Facebook won’t start trading at the opening bell
On the Web, reactions ran the gamut from deliriously hopeful to harshly negative for the social-media giant’s Wall Street potential.
“A $104 billion market capitalization puts Facebook at more than 100 times
Article source: http://rss.cnn.com/~r/rss/edition_technology/~3/Hr-FjyQM5Yc/index.html
Facebook prices its IPO at $38, could raise $16 billion
Priced at $38 a share on Thursday, the 8-year-old social-networking company, fronted by hoodie-wearing CEO Mark Zuckerberg, could raise $16 billion in funding, not including an overallotment option. It could end its first day of trading worth up to $104 billion. That would make it worth more than Disney, Ford and Kraft Foods. It would be the second-largest U.S.-listed IPO behind only Visa. Facebook’s market debut, the biggest tech company IPO ever, should create 1,000 millionaires overnight.
The mega-offering signals a seminal event in the Internet’s maturation as a fundamental cog in the world economy, says Dave Morin, CEO of Path, a social network of 3 million and a former Facebook executive. “It sets the tone for long-term, product-driven Internet companies,” he says.
Do Facebook ads work? IPO, GM spotlight issue
GM said this week that while it will continue to use Facebook’s free social-media services such as fan pages, it is, in its word, “reassessing” the use of paid advertising on the site.
GM spokesman Tom Henderson wouldn’t disclose what factors led to that decision. The Wall Street Journal, citing unnamed sources, said GM executives thought Facebook ads had little effect on consumers’ car purchases.
Facebook would not comment.
GM’s decision not only put Facebook’s ad effectiveness into the spotlight, it also raised questions about management’s ability to service important blue-chip clients.
“They clearly mistreated their customer,” says technology analyst Rob Enderle of the Enderle Group. “Even Bill Gates had to learn how to kiss people’s butts.”
The public falling-out could have come from Facebook not producing a strong enough ad formula
Article source: http://rssfeeds.usatoday.com/~r/usatoday-TechTopStories/~3/20Qzn8SfFg8/1
Facebook IPO boosts wealth in Silicon Valley
LinkedIn, Zynga and Yelp — a few of the local start-ups to go public in the past year — raised a combined $1.5 billion in IPOs. But that’s chump change compared with Facebook’s possible $16 billion offering from its upcoming IPO.
These upstarts and others minted hundreds, if not thousands, of new millionaires. Now, Facebook, shaping up as the largest-ever technology IPO, will add another thousand or more millionaires — and a bunch of billionaires.
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PHOTOS: The Facebook story
Facebook is expected to begin Nasdaq trading on Friday in the largest-ever Internet IPO that could easily value it above $100 billion.
With even a minor first-day pop in trading, Facebook founder Mark Zuckerberg‘s stock holdings will make him one of the top 10 wealthiest Americans. COO Sheryl Sandberg likely will have
Article source: http://rssfeeds.usatoday.com/~r/usatoday-TechTopStories/~3/qG5FhUBlI00/1
