The Facebook IPO is perhaps one of the most anticipated in tech for the longest while. But many are now finding that although Facebook itself is valued quite highly (some say $100 billion+), the amount of funding Facebook is looking to raise is meager compared to some recent IPOs.
Before we look at which companies have beat Facebook, we need to explore why Facebook is only looking to raise $10 billion. There are several factors that could contribute to that but the main reason in my opinion is that Facebook is already investor heavy and so it really can’t afford to dilute their shares in the company by offering too many stocks. Of course this leads to the obvious question of share price, but that won’t become apparent until April 2012.
So, who has beat Facebook? According to a research listing provided on popular tech site Mashable, Facebook isn’t even in the top 10. Number 10 is Bank of China which raised $11.2 billion in its 2006 IPO. The number one biggest IPO belongs to General Motors which raised $23.1 billion in 2010. In between are a few more Chinese corporations, Visa and a few telecoms company—there were no Google or Microsoft.
This listing of course tells us that while Facebook and Google et al may be big, the real money is in the sectors that are functionally speaking, offline companies. This is something to think about indeed.
Should Facebook have tried to raise more with its upcoming IPO? Share your thoughts below.
Source: http://www.sitetrail.com/2011/12/05/facebook-plans-to-raise-10-billion-in-its-ipo/
Before we look at which companies have beat Facebook, we need to explore why Facebook is only looking to raise $10 billion. There are several factors that could contribute to that but the main reason in my opinion is that Facebook is already investor heavy and so it really can’t afford to dilute their shares in the company by offering too many stocks. Of course this leads to the obvious question of share price, but that won’t become apparent until April 2012.So, who has beat Facebook? According to a research listing provided on popular tech site Mashable, Facebook isn’t even in the top 10. Number 10 is Bank of China which raised $11.2 billion in its 2006 IPO. The number one biggest IPO belongs to General Motors which raised $23.1 billion in 2010. In between are a few more Chinese corporations, Visa and a few telecoms company—there were no Google or Microsoft.
This listing of course tells us that while Facebook and Google et al may be big, the real money is in the sectors that are functionally speaking, offline companies. This is something to think about indeed.
Should Facebook have tried to raise more with its upcoming IPO? Share your thoughts below.
Source: http://www.sitetrail.com/2011/12/05/facebook-plans-to-raise-10-billion-in-its-ipo/