A lot of stories about the Facebook numbers are reporting that Facebook will raise $10.6 billion when it sells its stock in the next couple of weeks. However, it’s important to note that only about half of that will actually go into the company’s coffers. The rest is insiders cashing out shares.
The company said it is selling 337.4 million shares in its updated S-1. However, only 180 million shares are being sold by Facebook itself. The other 157.4 million shares are being sold by insiders.
That means that if the shares go out at the low end of the $28-$35 price range, Facebook would pocket about $5 billion. The rest would go to insiders: venture firms and executives.
Here’s the breakdown:
- Mark Zuckerberg: 71 million shares
- Accel Partners: 38 million shares
- 12 Facebook executives: 117 million shares (including Zuckerberg’s shares)
- DST Global: 26.3 million shares
- Goldman Sachs investment fund: 13.2 million shares.
- Elevation Partners: 4.6 million
- Greylock Partners: 11.3 million
- Marc Pincus: 1 million
- Meritech Capital Partners: 6.99 million
- Microsoft: 6.56 million
- Reid Hoffman: 942,784
- Tiger Global Management: 3.4 million
Of course, $5 billion (or more) is still a big chunk of change for Facebook. It’ll be interesting to see just what they do with that cash. Buy startups? Invest in infrastructure? Acquire China?
3 comments
Stan Kladko
Steve Jobs never sold a single share of APPL after he was back.
The entire notion of the IPO is that the company offers it shares to the public.
Marc Zuckenberg should sell his shares gradually, after the price of the stock settles. It is a break of fiduciary duty on his side to do with the VC and flip the shares. This is the worst of the 2000 bubble back again. These guys smell the bubble and cash out.
May 3, 2012
Facebook, l’introduction en bourse vue par PK | PrintKlub!
[...] 10,6 milliards de dollars d’actions devraient être mises en vente. 180 millions d’actions par Facebook qui récupèrera un peu plus de 5 milliards, le reste par des investisseurs sortants. La liste est longue mais les grands gagnants de la fête sont dans l’ordre: Marck Z.; Accel Partners; 12 cadres de chez Facebook, DST partners, Goldman Sachs (souvent dans les bons coup), etc. Voir la liste complète ici. [...]
May 5, 2012
Linda
Now the business world is talking about how much Facebook will be worth when it goes public.
To know how Facebool IPO will affect Bay Area property value, come see this article: http://www.movoto.com/blog/market-trends/facebook-ipo-creates-at-least-1-billion-in-bay-area-property-value/
May 15, 2012