Wednesday, October 8, 2014

Purchase of WhatsApp cost on Facebook at $ 22 billion

Facebook has closed its acquisition of mobile messenger WhatsApp. The total amount has increased to nearly $ 22 billion due to the increased value of the shares of social networks.Original price - $ 19 billion - was announced in February.
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After this time, the transaction amount rose to $ 21.8 billion. This is due to the fact that Facebook shares have since risen to 13% (of the money paid in shares Facebook).
Under the deal, all of the outstanding shares and options WhatsApp redeemed and exchanged for 177,700,000 shares in Facebook Class A ($ 17.2 billion). Owners of shares messenger also received $ 4.59 billion in cash.
WhatsApp employees also became the owners of 45.9 million shares of Facebook as a grant to the transaction. Executive Director Ian Koumi WhatsApp and co-founder and vice president Brian Acton received 37,475,271 share social networks. The package price is $ 2.8 billion. Koumi acquired a grant for $ 1.9 billion, Acton - to $ 966.3 million. Moreover, Koumi joined the board of directors of Facebook.
3 October the European Commission approved the transaction, which concluded that its opinion would hinder competition on the market of services for the exchange of quick messages. "We have carefully studied this transaction and concluded that its conclusion would not prevent competition in this dynamic market," - said in a statement the EC Vice-Chairman of the Commission and Commissioner for Competition Joaquin Almunia.
Facebook announced the purchase of WhatsApp for $ 19 billion in February, and in April the transaction was approved by the Federal Trade Commission United States.
Co-founder Yang Kum WhatsApp will continue to lead the service, and will also include the board of directors Facebook. He will receive an annual base salary of $ 1, as the head of Facebook Mark Zuckerberg. Besides, if he stays in the company of four years, it will receive 24.9 million shares of Facebook - now this package is estimated at nearly $ 2 billion.
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