Facebook investors want out

Early Facebook investors, who own nearly US$1 billion in the company’s stock, are cutting their asking prices and heading for the door, sources have told Reuters exclusively.

The shareholders seem worried that the social network is overvalued, and have already tried to sell their shares at a price that values the company at $90 billion, but buyers didn’t go for it. Now, they’re trying again with a sale on the secondary market, which would value the company at more than $70 billion, five sources “with direct knowledge of the situation” told Reuters in an article published yesterday evening.

In January, Goldman Sachs valued Facebook at $50 billion, The New York Times then reported. Last month, it was valued at $78.75 billion, according to a report by TechCrunch.

In November last year, Fast Company published a Facebook Valuation Timeline, which chronicled the previous ups and downs of the company’s valuation.

Image: Andrew Hur for Fast Company

Advertisements
This entry was posted in Facebook, investors, Stocks. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s