Facebook is selling 70 million shares of its Class A common stock in a secondary offering. The shares are coming from Facebook (27 million and a few thousand shares), as well as from other stockholders (a little less than 43 million shares). Mark Zuckerberg, founder and CEO of the company, is selling over 41 million of his shares, a transaction that can fetch roughly $2.3 billion at current prices.
In a filing with the SEC, the social network says it intend to use the proceeds from the offering for working capital and other general corporate purposes including acquisitions, but does not currently have any specific uses of the funds it will receive.
J.P. Morgan, BofA Merrill Lynch, Morgan Stanley and Barclays are serving as joint bookrunners for the offering. BNP Paribas, Citigroup, RBC Capital Markets, Credit Suisse, HSBC, Standard Chartered and Piper Jaffray are serving as co-managers.
[Image courtesy: Facebook]