Is Whatsapp sold to Facebook - Everything You Need to Know!

Is Whatsapp Sold To Facebook - With so much money sprayed in Silicon Valley, it's challenging for a procurement to create a mix. Facebook's (FB) procurement of WhatsApp last year did just that-- going beyond Google's (GOOG) $3.2 billion purchase of Nest Labs as well as Apple's (AAPL) $3 billion Beats Electronic devices procurement-- to come to be 2014's top purchase as well as one of the largest tech buys of all time.

WhatsApp, a message messaging application utilized widely around the world, stole headings with its preliminary $16 billion proposal from Facebook. In 2013, the app shed $138 million and generated $10.2 million in income. So exactly how did the company win over Facebook? This short article checks out Facebook's document damaging purchase and also the steps it took to arrive.

Is Whatsapp Sold To Facebook

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

Facebook accepted purchase WhatsApp in February 2014 for over $19 billion in stock, as well as the price had gone up to $22 billion by October, when the deal closed, thanks to Facebook's increasing stock cost. Koum possessed concerning 45% of the company when he sold it, Forbes approximates, which means his take on paper had to do with $10 billion. He additionally obtained a seat on Facebook's board.

At the end of 2015, according to Facebook's annual proxy filing, Koum possessed over 60 million shares of common stock. He also had an additional 19 million limited stock units, which vest with time and also serve as a reward for him to stay till November 2018.

Based upon that vesting schedule, it looks like he's gained concerning 3 million of those RSUs so far this year.

So in general, he's marketed concerning one-third of his present stake in Facebook this year.

Koum's stock sales come as WhatsApp remains to proliferate and also as the business is making changes to the service that could open new moneymaking possibilities, but likewise risks estranging some customers.

On Thursday, Facebook revealed that WhatsApp was altering its privacy policy for the very first time considering that the procurement to allow Facebook to see the contact number that a customer shares when they enroll in WhatsApp. Facebook can utilize this details to enable services to call individuals directly via WhatsApp, as they can currently do through Messenger, and also will allow Facebook to reveal even more appropriate advertisements to logged-in customers. Nonetheless, WhatsApp claimed it would certainly not share these contact number directly with individuals.

WhatsApp passed more than than 1 billion monthly users in February as well as is one of the most preferred chat app in over half of the globe, according to recent statistics from SimilarWeb.

Facebook had no comment on the sales, as it does not comment on peoples' financial investment decisions.

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