Join GamesBeat Summit 2021 this April 28-29. Register for a free or VIP pass today.
In an official statement Monday, Woodside, California-based GSV Capital said it purchased 225,000 shares in Facebook for a total of $6.6 million ($29.28 per share), according to the report.
Since GSV Capital is an investment fund for high-growth, venture capital-backed companies, it’s not shocking that it would put money down on Facebook. However, it does seem like a large risk. The $6.6 million amount represents about 15 percent of GSV’s total portfolio, according to the report.
Also GSV’s $70 billion valuation of Facebook means the social networking site, which has yet to make an initial public offering, is worth nearly as much as companies like Amazon, Cisco and Hewlett-Packard.
Facebook could be planning an IPO for the first quarter of 2012, with a potential $100 billion valuation. In January, Goldman Sachs valued Facebook at $50 billion. The investment firm is seeking to manage Facebook’s IPO.
VentureBeatVentureBeat's mission is to be a digital town square for technical decision-makers to gain knowledge about transformative technology and transact. Our site delivers essential information on data technologies and strategies to guide you as you lead your organizations. We invite you to become a member of our community, to access:
- up-to-date information on the subjects of interest to you
- our newsletters
- gated thought-leader content and discounted access to our prized events, such as Transform 2021: Learn More
- networking features, and more