After keeping the tech world in suspense for several months, Facebook may finally go public in late May, a tech site reported this week.
Tech site All Things Digital cited multiple sources who said the social networking giant may make its public offering in the third week of May.
It said the Facebook IPO is expected to be one of the largest Web offerings ever, with some reports saying the company will be raising $10 billion on a $100-billion valuation.
AllThingsD also quoted its sources as saying Facebook may have a relatively traditional offering script – likely to include a hefty consortium of irksome investment bankers such as Goldman Sachs and Morgan Stanley on top of the filings and a spate of smaller ones (Allen & Co.) below.
But it also said Facebook must file its IPO documents within February since the Securities and Exchange Commission’s review usually takes three to four months.
AllThingsD also said issues like a turbulent market or questions from regulators that require amending the filing may delay the proceedings.
On the other hand, it said the IPO planning “could all change in a New York minute to another month.”
Facebook claims to have 800 million users, and may hit one billion before this year ends, the AllThingsD article said.
It added Facebook’s revenue, reportedly close to $4 billion in 2011, is likely to be higher by another third in 2012.
But AllThingsD also said Facebook may need a public offering heft more than ever as Facebook’s battles with rivals escalate, particularly that with Google.
Earlier this month, Google shoved its own social networking service Google+ into its search results – a move that could severely disadvantage Facebook.
http://www.gmanetwork.com