In response to solid demand, Facebook Inc has increased the price of IPO to $36 for selling 337.4 million shares. It will fetch $12.1 billion to Menlo Park, California headquartered company.
It will be the biggest ever IPO of Silicon Valley which will cast a shadow on debut of Google Inc’s IPO back in 2004.
Originally the social network had planned to close its IPO on Thursday but due to strong demand has decided to close its IPO on Tuesday.
Road show of the company which was established in a Harvard dorm room by Mark Zuckerberg started last week and has attracted big crowds. Those who were unable to attend a road show will still be in a position to take part in IPO.
As per analysts, the IPO has already been “over subscribed”. A large number of banks are among the underwriters of Facebook’s offering, with Goldman Sachs JPMorgan and Morgan Stanley serving as leads. Facebook will be traded on Nasdaq. Its symbol will be FB. Some investors are worried that Facebook has yet to sort out a method to earn money from growing quantity of users that have accessibility to the social network on mobile appliances for example smartphones.Previous Post » Top Decliners at Dow Jones: JPMorgan, Bank of America and Intel Corp