Facebook valued between $85bn and $95bn

Posted May 5, 2012 by Tim Sandle
In preparation for its initial public offering, social media giant Facebook has been valued at between $85 and $95 billion.
Facebook founder Mark Zuckerberg
Facebook founder Mark Zuckerberg
In advance of the initial public offering (IPO), Facebook has set the share price which is estimated, according to The Drum, to fall between $28 and $35 per share. This will mean that the company will be valued at between $85 and $95 billion.
The valuation means that Facebook's IPO will be bigger than that of Google's (which was £23 billion back in 2004).
Digital Spy indicates that the share offer is set to be released on Monday May 7. Following this Facebook will be listed on the Nasdaq, trading under the symbol "FB". The IPO will lead to around ten per-cent of the company being put into private hands.
Despite the flotation, Facebook founder and chief executive Mark Zuckerberg will remain in control of the company even after the IPO, controlling more than 57.3% of the voting power through shares he holds and through voting agreements with other stockholders.
It is estimated that Facebook, founded in 2004, has 900 million users worldwide and made a profit of $1 billion during 2011.