Friday, January 21, 2011

Facebook Confirms $1.5 Billion Fundraising

Palo Alto-based Facebook confirmed its $1.5 billion fundraising Friday, saying that the funding valued the firm at approximately $50 billion. Facebook said the funding included an offering by Goldman Sachs to its non-U.S. clients, investing $1 billion in Facebook Class A common stock. In addition, Digital Sky Technolgoies (DST), The Goldman Sachs Group, and funds managed by Goldman Sachs invested $500M at the same valuation. Facebook said the move would bolster its cash reserves and increase its financial flexibility. The funding had already been widely reported.