How Much Did Facebook Pay for Whatsapp - Everything You Need to Know!
By
Ba Ang
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Wednesday, April 15, 2020
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Facebook Buys Whatsapp
WhatsApp, a text messaging application used widely across the globe, stole headlines with its preliminary $16 billion bid from Facebook. In 2013, the app lost $138 million and also brought in $10.2 million in earnings. So just how did the business win over Facebook? This write-up checks out Facebook's document damaging procurement and also the actions it required to get there.
How Much Did Facebook Pay For Whatsapp
It ends up he's marketed greater than 22 million shares worth roughly $2.8 billion considering that January.
Facebook agreed to get WhatsApp in February 2014 for over $19 billion in supply, and also the price had increased to $22 billion by October, when the bargain shut, thanks to Facebook's climbing stock price. Koum possessed concerning 45% of the company when he offered it, Forbes approximates, which suggests his take on paper had to do with $10 billion. He additionally got a seat on Facebook's board.
At the end of 2015, according to Facebook's yearly proxy filing, Koum possessed over 60 million shares of common stock. He also had one more 19 million limited stock devices, which vest over time and act as an incentive for him to stick around till November 2018.
Based on that vesting schedule, it resembles he's made regarding 3 numerous those RSUs so far this year.
So in general, he's sold concerning one-third of his current stake in Facebook this year.
Koum's supply sales come as WhatsApp remains to proliferate and also as the business is making changes to the service that can open up brand-new moneymaking chances, yet additionally takes the chance of pushing away some individuals.
On Thursday, Facebook announced that WhatsApp was changing its personal privacy policy for the very first time because the procurement to permit Facebook to see the contact number that a customer shares when they enroll in WhatsApp. Facebook can use this info to allow services to speak to users straight through WhatsApp, as they can currently do via Messenger, and will certainly allow Facebook to reveal even more appropriate ads to logged-in customers. However, WhatsApp claimed it would certainly not share these contact number straight with customers.
WhatsApp passed more than than 1 billion regular monthly individuals in February and is one of the most prominent conversation app in majority of the globe, according to recent stats from SimilarWeb.
Facebook had no discuss the sales, as it doesn't talk about individuals' investment choices.