Facebook Investors Look To Unload Stock
Potential sale would value the social media giant at $70 billion.
| Posted Thursday, April 28, 2011, at 10:17 AM
Some of Facebook’s early investors are looking to cash out part of their stake in the seemingly omnipresent social media company.
Reuters reports that a group of shareholders, which includes Facebook employees, is hoping to offload $1 billion worth of shares on the secondary market, a sale that if successful would value the company at more than $70 billion.
The news service, citing unnamed sources, says the group tried and failed to sell off the shares at a higher price that would have valued the company at $90 billion. That figure would have made Facebook more financially valuable than Time Warner and News Corp. combined.
Mark Zuckerberg and the rest of the Facebook brass have not yet approved the deal.
Reuters on what the potential deal would mean:
It would represent one of the largest transactions of Facebook shares to date and points to a growing wariness among early-stage investors and employees who fear Facebook's growth cannot keep pace with its market valuation.
