Did Facebook Buy Whatsapp - Everything You Need to Know!

Did Facebook Buy Whatsapp - With a lot money sprayed in Silicon Valley, it's not easy for an acquisition to create a stir. Facebook's (FB) purchase of WhatsApp in 2015 did just that-- going beyond Google's (GOOG) $3.2 billion acquisition of Nest Labs and also Apple's (AAPL) $3 billion Beats Electronic devices purchase-- to become 2014's top acquisition as well as among the largest tech acquires of all time.

WhatsApp, a text messaging application made use of commonly around the world, stole headings with its initial $16 billion quote from Facebook. In 2013, the app lost $138 million and also brought in $10.2 million in earnings. So how did the business sway Facebook? This article examines Facebook's document breaking procurement and also the steps it took to get there.

Did Facebook Buy Whatsapp

It turns out he's marketed more than 22 million shares worth approximately $2.8 billion given that January.

Facebook accepted buy WhatsApp in February 2014 for over $19 billion in stock, as well as the cost had risen to $22 billion by October, when the offer closed, thanks to Facebook's rising stock price. Koum had regarding 45% of the firm when he offered it, Forbes estimates, which implies his take on paper was about $10 billion. He likewise obtained a seat on Facebook's board.

At the end of 2015, according to Facebook's annual proxy filing, Koum owned over 60 million shares of ordinary shares. He also had one more 19 million restricted stock systems, which vest over time and also act as an incentive for him to remain up until November 2018.

Based on that vesting routine, it appears like he's made regarding 3 countless those RSUs until now this year.

So in general, he's offered concerning one-third of his current risk in Facebook this year.

Koum's supply sales come as WhatsApp remains to grow rapidly and also as the firm is making changes to the solution that can open new moneymaking chances, but additionally takes the chance of pushing away some individuals.

On Thursday, Facebook introduced that WhatsApp was changing its personal privacy plan for the first time considering that the acquisition to allow Facebook to see the phone number that an individual shares when they enroll in WhatsApp. Facebook can use this details to enable companies to contact users directly with WhatsApp, as they can already do with Messenger, and will permit Facebook to reveal more pertinent advertisements to logged-in users. Nonetheless, WhatsApp claimed it would not share these telephone number directly with individuals.

WhatsApp passed more than than 1 billion month-to-month customers in February and also is one of the most popular chat application in more than half of the world, according to recent statistics from SimilarWeb.

Facebook had no talk about the sales, as it does not talk about peoples' financial investment choices.

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