Did Facebook Buy Whatsapp - Everything You Need to Know!

Did Facebook Buy Whatsapp - With so much cash money thrown around in Silicon Valley, it's difficult for a procurement to cause a stir. Facebook's (FB) procurement of WhatsApp in 2014 did just that-- surpassing 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 leading procurement and also one of the largest technology buys of all time.

WhatsApp, a message messaging application used widely across the globe, swiped headings with its first $16 billion bid from Facebook. In 2013, the application lost $138 million as well as generated $10.2 million in earnings. So how did the company gain Facebook? This short article takes a look at Facebook's record damaging acquisition and also the steps it took to get there.

Did Facebook Buy Whatsapp

It ends up he's sold more than 22 million shares worth roughly $2.8 billion since January.

Facebook accepted acquire WhatsApp in February 2014 for over $19 billion in supply, as well as the cost had actually risen to $22 billion by October, when the offer shut, thanks to Facebook's rising supply price. Koum owned about 45% of the business when he offered it, Forbes estimates, which means his take on paper had to do with $10 billion. He likewise got a seat on Facebook's board.

At the end of 2015, according to Facebook's yearly proxy declaring, Koum had over 60 million shares of ordinary shares. He additionally had another 19 million limited stock units, which vest gradually as well as work as a motivation for him to linger until November 2018.

Based upon that vesting schedule, it looks like he's earned concerning 3 numerous those RSUs thus far this year.

So generally, he's sold about one-third of his present stake in Facebook this year.

Koum's stock sales come as WhatsApp remains to proliferate and as the firm is making changes to the solution that might open new moneymaking opportunities, but also runs the risk of pushing away some individuals.

On Thursday, Facebook announced that WhatsApp was altering its personal privacy policy for the very first time considering that the purchase to allow Facebook to see the contact number that a customer shares when they enroll in WhatsApp. Facebook can use this information to permit organisations to contact users directly with WhatsApp, as they can currently do via Carrier, and also will allow Facebook to show even more relevant ads to logged-in customers. Nevertheless, WhatsApp stated it would not share these telephone number directly with individuals.

WhatsApp passed more than than 1 billion monthly customers in February and is one of the most popular chat app in over half of the world, according to recent statistics from SimilarWeb.

Facebook had no comment on the sales, as it doesn't talk about individuals' financial investment choices.

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