We all expect that it is just a matter of time before the facebook IPO. There is much speculation about when – perhaps between April and June of 2012. One thing we do know however is that when the IPO occurs, Mark Zuckerberg will become very, very wealthy. Estimates are that his value of Facebook will be around $25 billion. That’s about 25% of the estimated $100 billion that Facebook is expected to be valued at.
A couple of other things to consider. It is expected that Facebook will raise $10 Billion. Only Visa and General Motors have ever raised much more in an IPO $18.1, billion and $19.7 billion respectively (AT&T’s IPO was $10.6 billion). With a valuation of $100 billion, Facebook will be more valuable than McDonald’s, Disney and Amazon. Facebook’s projected revenue for 2011 is $4.2 billion which is equal to 3 weeks of Apple’s revenue.
These numbers and comparisons are staggering. Only time will tell if investing in Facebook will make sense on or after the IPO day (the average investor won’t have the opportunity to invest prior).
Take a look at some other fun facts….. (infographic created by AccountingDegreeOnline. )