Digital Sky Technologies Reportedly Buying Additional Facebook Stock
In July, Digital Sky Technologies (DST) bought $100 million worth of Facebook stock and gained a 3.5% ownership in the company. About 2 months later, Digital Sky Technologies invested in a Russian replica of Facebook. Now Digital Sky Technologies is showing additional interest in Facebook by buying up additional shares in the top social network. DST is buying the shares directly from shareholders.
“Their appetite with me is: ‘whatever you have, we’ll take it,'” stated a source with Reuters that is a Facebook shareholder. This shareholder agreed to sell his stock to Digital Sky. DST is offering about $14.77 per share in Facebook which is the same amount that they bought the stock for back in July. Based on this price, Facebook is valuated at $6.5 billion. Facebook has about 300 million users serving about 300,000 images per second.
Facebook invested $200 million in preferred shares back in May. Between this investment and the $100 million purchase of stock back in July, this gave the company the 3.5% ownership. Facebook revenues will surpass $500 million this year.This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry