Lurker Posted February 20, 2014 Report Share Posted February 20, 2014 Facebook is purchasing messaging giant WhatsApp for $16 billion in cash and stock, according to a regulatory filing. The deal is being cut for $12 billion in Facebook shares, $4 billion in cash and an additional $3 billion in RSUs for employee retention. A termination fee is attached to the deal that would cost Facebook $1 billion in cash and $1 billion in shares if the deal fails to pass regulatory muster. The post notes that WhatsApp will continue to operate independently and retain its brand. In addition, WhatsApp co-founder and CEO Jan Koum will join Facebook’s board. Facebook notes that WhatsApp has over 450 million MAUs, with 70 percent of those active each day. In a staggering comparison, Facebook also notes that the messaging volume of WhatsApp approaches the SMS volume of the entire global telecom industry — and that it’s adding 1 million users a day. “WhatsApp is on a path to connect 1 billion people. The services that reach that milestone are all incredibly valuable,” said Mark Zuckerberg, Facebook founder and CEO in a statement. source : http://techcrunch.com/2014/02/19/facebook-buying-whatsapp-for-16b-in-cash-and-stock-plus-3b-in-rsus/ 4 Quote Link to comment Share on other sites More sharing options...
darksabersan Posted February 20, 2014 Report Share Posted February 20, 2014 This a crazy investment.Especially when we know that an application can quickly become obsolete or even abandon its users overnight.I'm not sure that Mark Zuckerberg was right to make this investment, especially after the sharp fall in stock exchange even if it remains a bit stable. 2 Quote Link to comment Share on other sites More sharing options...
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