keflex yogurt

Facebook to Start Selling Stock to the Public This Month

Ace May 9, 2012 0
Facebook to Start Selling Stock to the Public This Month

 

Beginning sometime later this month Facebook, which has become a Social Media giant, is planning to sell stock in the company. The company is planning what stock markets call an “initial public offering,” or IPO. Once Facebook is listed as an IPO (a publicly traded company), its shares will rise or fall, depending on its financial performance and the other economic twists and turns that affect the world’s stock markets.

Facebook, Inc. was founded in 2004 and is headquartered in Menlo Park, California. The company that operates as a social networking company worldwide. The company builds tools that enable users to connect, share, discover, and communicate with each other through the social network. The company also enables developers to build social applications, integrate their business Websites and integrate other social networks to Facebook as well.

Facebook also offers products that enable advertisers and marketers to engage with its users. The most recent count, February 2, 2012, had 845 million monthly users and 443 million daily users on the social network. Hence the word GIANT..

For the first time the company will be giving the public a chance to buy stock in Facebook.  Once they buy the stock, investors will become part owners of the company.

For eight years, Facebook has been owned by its founder, Mark Zuckerberg and others who helped create the social network. The company has been labeled as a privately owned U.S.-based company. As of mid may, which is maybe a week or so away, the company will go public. As soon as the first stock is sold Facebook becomes publicly owned leaving the original owners the opportunity to keep or sell for whatever their shares may bo worth.

Facebook projections show that the price of shares will be between $28 and $35 leaving the company valued at about $96 billion. The upper hand that Facebook has is that it has fans through out the world. Once the company goes public we will see investors from all over the world interested in purchasing shares.

Facebook Inc. officials are meeting in New York and Boston this week with hundreds of more-than likely investors before its public offering. Chief Operating Officer Sheryl Sandberg and Chief Financial Officer David Ebersman led a large presentation today, May 8, 2012, in Boston. They were in New York yesterday and met with Chief Executive Officer Mark Zuckerberg as well. The executives discussed reasons to explain why they purchased the photo-sharing site Instagram. They also informed investors that they were optimistic about potential future gains.

In other news, Facebook plans to raise as much as $11.8 billion in its IPO. This will be the biggest penny ever raised for an Internet company. Mark Zuckerberg has not had it east these past few years having to pitch Facebook as a private company. This only means that he will be able to pitch his business model without any trouble this time because he s talking to possible public investors.

 

The most recent story about the situation focused on potential investors from New York waiting in a line at the Sheraton New York Hotel lobby and around the side of the building for a meeting that started about an hour late. CNBC also televised the footage.

The big question investors will be asking will concern the future growth of Facebook as a company. Executives addressed Facebook’s slowdown in revenue growth and mentioned that the company is now facing a larger base of users. The Social Network is working hard and strategically to find ways to be useful to users and advertisers at the same time. More over, Facebook is also working on new ways to make money from mobile users as well, and getting more partners besides game maker Zynga Inc. to use its platform and currency. With these types of virtual games users spend real money to buy so-called virtual goods.

 

 

Rate, Review and Share Your thoughts on this article in the comment section below.

 

Follow us on Twitter @RatePublic

Like us on Facebook

 

 

VN:F [1.9.22_1171]
Rating: 0.0/10 (0 votes cast)
VN:F [1.9.22_1171]
Rating: 0 (from 0 votes)

Leave A Response »