Facebook Inc. which runs the world most popular social networking site www.facebook.com set the price range for its IPO ( initial public offering ) at $28 to $35 per share. This valuation is targeting as rich as $96 billion in what would be a record debut for an American company. It would be bigger than Google’s valuation of $23bn in 2004. The share market investor had expected more than this value.
According to the report , Facebook will start promoting their shares offering on Monday. The first trading of facebook shares on the Nasdaq Stock Market, Its shares are expected to start trading under the symbol “FB” on 18 May 2012. The facebook.com is eight-year-old social networking site and nearly 900 million users worldwide that made a profit of $1bn last year.
Mark Zuckerberg, the founder and chief executive of facebook will remain in control of the company even after the IPO. He had the control of more than 57.3% of the voting power through shares that he holds and through voting agreements with the other stock holders. He will own 31.5% of Facebook’s outstanding stock. At the top end of the price range, this would make his holdings worth $17.6bn.