ShyWriter Posted May 17, 2012 ID:552123 Share Posted May 17, 2012 .May 16, 2012, 7:33 amI.P.O./Offerings Facebook Increases Number of Shares for I.P.O. By BEN PROTESS8:46 a.m. | Updated Facebook said on Wednesday that it would offer more shares to investors when the company goes public this week, the latest sign of high demand for the eagerly anticipated offering.In a filing with the Securities and Exchange Commission, Facebook said the number of shares for sale would be increased to 421 million, 25 percent more than it had previously planned to offer. At $38 a share, the maximum price Facebook says it plans to seek, the social networking giant’s offering would raise nearly $16 billion, making it one of the largest I.P.O.’s in history. Related Links Documents: Understanding the Facebook ProspectusComplete Coverage: FacebookIncluding roughly 63 million shares earmarked for over-allotment, which allows underwriters to buy additional shares to meet excess demand, the offering would raise more than $18 billion.Facebook itself is offering 180 million shares, while existing stockholders will offer 241 million shares.The announcement comes on the heels of an increase in the anticipated offering price, also because of investor demand. On Tuesday, the company raised the estimated price range to $34 to $38 a share, from $28 to $35 a share. The increase in the offering price values the company at as much as $104 billion.In Asia alone, Facebook’s offering is more than 25 times oversubscribed, a person briefed on the matter said earlier this week, speaking on condition of anonymity because the discussions were private.Facebook will easily outpace Google as the biggest Internet stock debut. Depending on the final pricing and number of shares, the company is also positioned to become the second or third largest I.P.O. ever in the United States behind Visa and possibly General Motors, according to Thomson Reuters.Facebook is expected to price its shares on Thursday and start trading on the Nasdaq stock market on Friday. It will trade under the ticker “FB.”SOURCE: http://dealbook.nyti...hares-for-i-p-o Steve Link to post Share on other sites More sharing options...
Recommended Posts