Did Facebook Bought Whatsapp - Everything You Need to Know!

Did Facebook Bought Whatsapp - With a lot cash sprayed in Silicon Valley, it's difficult for a procurement to create a mix. Facebook's (FB) acquisition of WhatsApp in 2014 did simply that-- going beyond Google's (GOOG) $3.2 billion acquisition of Nest Labs and also Apple's (AAPL) $3 billion Beats Electronics procurement-- to become 2014's top acquisition and also among the largest technology buys of all time.

WhatsApp, a text messaging app utilized widely around the world, stole headings with its preliminary $16 billion quote from Facebook. In 2013, the app lost $138 million as well as brought in $10.2 million in profits. So just how did the business sway Facebook? This article examines Facebook's document breaking procurement as well as the steps it took to arrive.

Did Facebook Bought Whatsapp

It turns out he's offered more than 22 million shares worth roughly $2.8 billion since January.

Facebook accepted buy WhatsApp in February 2014 for over $19 billion in supply, and the price had actually gone up to $22 billion by October, when the offer closed, thanks to Facebook's climbing supply cost. Koum had concerning 45% of the firm when he marketed it, Forbes approximates, which suggests his take on paper was about $10 billion. He also got a seat on Facebook's board.

At the end of 2015, according to Facebook's yearly proxy declaring, Koum had over 60 million shares of ordinary shares. He additionally had another 19 million limited supply units, which vest over time and serve as an incentive for him to linger until November 2018.

Based upon that vesting routine, it resembles he's earned concerning 3 countless those RSUs thus far this year.

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

Koum's stock sales come as WhatsApp remains to proliferate and as the business is making changes to the solution that could open up brand-new moneymaking chances, yet likewise takes the chance of alienating some users.

On Thursday, Facebook introduced that WhatsApp was changing its personal privacy plan for the first time given that the purchase to allow Facebook to see the contact number that a user shares when they register for WhatsApp. Facebook can utilize this information to permit organisations to contact users directly through WhatsApp, as they can already do with Carrier, and also will permit Facebook to show more pertinent advertisements to logged-in users. However, WhatsApp claimed it would not share these phone numbers straight with customers.

WhatsApp passed more than than 1 billion monthly users in February as well as is the most preferred chat application in more than half of the world, according to recent stats from SimilarWeb.

Facebook had no discuss the sales, as it does not comment on individuals' financial investment choices.

Tweet