Oooof.
There must have been all kinds of jiggery-pokery going on behind the scenes with this one.
A billion dollars?
Still it’s cash and shares — I haven’t read how much the actual cash amount is (or whether that’s been published yet) but of course the majority will be stock. Which, after 6-months or so will be worth something once Facebook does the offering.
Goodness me. They’ve got TEN employees! That’s a hundred million each. Although how many of them will see cash anywhere near that? The founders, yes… Anyway. It’s a phenomenal app and it has no doubt been annoying the hell out of Facebook’s own photo team when they see millions of their users sending Instagrams through to their account pages. Facebook wants to be at the front, controlling everything.
Although Mr Z over at Facebook reckons they won’t be doing any more transactions of this level soon, this won’t stop everyone-and-their-dog now targeting Facebook as the default purchaser. They’ve always been on the radar but this morning a million business plans that looked a wee bit shakey will have been validated by this news.
Bring on the bubble.