Washington: Facebook is looking forward to setting its initial public offering (IPO) at between $28 and $35 per share, which, according to a new regulatory filing, could value the company at around $86 billion.
The IPO would be valued at $10.63 billion at the middle of the range. The offering will include a total of 337,415,352 shares, including 180 million from the company and 157,415,352 from selling shareholders.
Facebook’s midpoint of each share is $31.50 which suggests that its market capitalisation is $86.31 billion. At the top of the price range, Facebook would be valued at $95.95 billion.
Mark Zuckerberg is selling 30.2 million shares, however, he previously planned to sell 60 million shares. Instead he is exercising options for 60 million Class B shares and then offering 30.2 million of those shares as Class A stock in the IPO. Facebook says: “We expect that the substantial majority of the net proceeds Mr. Zuckerberg will receive upon such sale will be used to satisfy taxes that he will incur in connection with the option exercise.”
Others selling in the IPO include: early venture investor Accel Partners, 35.88 million shares; Jim Breyer, 2.3 million shares; Peter Thiel, 6.575 million shares; Founders Fund, 1.173 million shares; DST Global, 26.2 million; Goldman Sachs, 13.189 million shares; Elevation Partners, 4.622 million; Greylock Partners, 6.998 million shares; Mail.ru Group, 11.27 million shares; Mark Pincus, 1.001 million shares; Meritech Capital Partners, 6.998 million shares; Microsoft, 6.556 million shares; Reid Hoffman, 942, 784 shares; and Tiger Global, 3.362 million shares.