Facebook buys a winner with WhatsApp

Thursday 20 February 2014 | 17:54 CET | Author: Tim Poulus | Market Commentary
Facebook is buying WhatsApp for in total USD 19 billion. The price includes USD 4 billion cash and the remainder in stock. This gives WhatsApp owners and employees 7.9 percent of Facebook, of which 20 percent will be paid out within four years of completing the deal as a retention bonus for staff. The base price for the company is USD 16 billion, of which USD 4 billion in cash. In the event the deal does not get regulatory approval, Facebook agreed to pay WhatsApp a break-up fee of USD 2 billion, half in cash.

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Categories: Mobile & Wireless
Companies: Facebook / Instagram / WhatsApp
Countries: World
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