Background Facebook’s IPO (Initial public offering) is one of the world’s largest initial stock offerings‚ raising $16 billion for the company. Facebook made its stock market debut on May 18 with an initial offering price of $38 per share‚ but closed at $38.23‚ a slight 0.61 per cent up (Associated Press‚ 2012). The typical big first-day pop in the share price seen in other technology companies’ IPOs that many investors had expected did not materialise. Instead‚ its stock price has tumbled since
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“Facebook‚ Inc: The Initial Public Offering” Introduction Facebook‚ which was founded by Mark Zuckerberg in February 2004‚ is an online social networking platform with the mission of making the world more open and connected. Within a few years‚ Facebook attracted millions of new users‚ from 1 million Monthly Active Users to 845 millions Monthly Active Users. Though competing with global and regional corporations in the industry‚ Facebook kept growing rapidly. With the high expectation of investors
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Today I will talk about Facebook; it’s a very topical subject particularly since Facebook submit paperwork to regulators for an IPO‚ 1 month ago. But let’s start with a little part of history Histoire «From Harvard dorm room to all Canadian and US University : Mark Zuckerberg‚ 28‚ founded Facebook while studying psychology at Harvard University. Zuckerberg had already developed a number of social-networking websites for fellow students‚ including Facemash‚ where you could rate people’s attractiveness
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the recent Facebook IPO‚ many analysts and Wall Street experts are wondering‚ Is Facebook going to be a relevant Social Media company over the next 5-10 years? Facebook is a free service to its users that allows its customers to keep in touch with friends and family and makes money through advertising. (Lewis‚ 2010) But if 44% of its users never click on those ads‚ will advertisers continue to spend a portion of its marketing budget on Facebook advertising? (Reisinger‚ 2012) Facebook is the second
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Facebook‚ Inc: The Initial Public Offering 1. How does Facebook make money? What are the value drivers of its business? What is its comparative advantage relative to other social networking companies? (1) Facebook makes money from the following three main fields First is the advertising. According to the case‚ we know that the major revenue of Facebook is advertising‚ which took up 98 percent in 2009‚ 95 percent in 2010 and 85 percent in 2011. Facebook uses all information uploaded
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SGMT 6050 – Mergers and Acquisitions Facebook IPO Facebook‚ a social networking site‚ has grown at an exponential rate that far surpasses market expectation‚ so much so that its growth rate is referred to as the “ Facebook phenomenal”. In 2004‚ Facebook had 1million monthly active users‚ and in comparison‚ it had reached 845million monthly active users in 2011. This phenomenal led to one of the biggest initial public offerings (IPO) the market had seen in recent years‚ with total capital raised
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Facebook after IPO Facebook was founded in February 2004 by Mark Zuckerberg with his college roommates and fellow Harvard University students Eduardo Saverin‚ Andrew McCollum‚ Dustin Moskovitz and Chris Hughes. "Facebook was not originally created to be a company‚" CEO Mark Zuckerberg wrote in his SEC Registration letter a little more than three months before Facebook went public on May 18‚ 2012. It was built to accomplish a social mission — to make the world more open and connected." Facebook
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Facebook Case Study 1. What is the decision Facebook faces with? What are the alternatives (options)? When Facebook filed for IPO in February 2012‚ expectations were set extremely high. When it loomed some investors expressed concern that Facebook’s advertising growth won’t suffice. Facebook’s public trading debut did not go as well as planned and shares continued to drop over the next few months. Facebook faces the decision of what to do in order to reverse the fall in stock price. The alternatives
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Course Facebook ACCOUNTING http://create.mheducation.com Copyright 2014 by McGraw-Hill Education. All rights reserved. Printed in the United States of America. Except as permitted under the United States Copyright Act of 1976‚ no part of this publication may be reproduced or distributed in any form or by any means‚ or stored in a database or retrieval system‚ without prior written permission of the publisher. This McGraw-Hill Create text may include materials submitted to McGraw-Hill for publication
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CASE: E-220 DATE: 05/22/08 FACEBOOK INTRODUCTION In January 2008 Mark Zuckerberg was interviewed on 60 minutes to talk about Facebook and its phenomenal growth since it started as a project in the dorms of Harvard University in 2004. The interviewer could not help but comment on how young he was and wonder whether he was old enough to run a company that many think is the biggest thing since Google. The company had grown to over 60 million users and was expected to grow to 200 million by the
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