We all know that Facebook is worth a lot of money, but very few people know about how much the company is actually worth and it turns out that it far more worth than what many had valued the company at.
The company recently acquired photo-sharing service Instagram that boasts of more than 30 million users worldwide in a cash plus shares deal which has been the biggest acquisition by the company so far and one of the largest deals in the social networking industry. The deal opened up a lot of possibilities for Facebook but it also revealed how much Facebook is really worth. According to the New York Times, during the acquisition negotiations between Instagram and Facebook, the companies valued that the social networking giant could be worth $104 if it trades publicly in the near future.
The valuation puts Facebook’s shares at more than $40-45 a piece. The stock prices were also one of the main reasons why Instagram’s executives decided to allow the acquisition of the 13 member strong company which had taken the internet by storm over the past year.
Facebook’s stake holders are rumored to have given mixed reactions to the company’s decision to go public next month because of the fact that many Internet companies have incurred losses after going public and are trading below their offering price.