IPG Bought $5 Million Worth Of Facebook Equity In 2006 And Sold It For $133 Million
Interpublic Group is a global marketing communications company that invested $5 million for stake in Facebook. This gave them less than half a percent in the social networking company. Recently they sold that stake for $133 million in a privately negotiated transaction. In five years, half a percent of Facebook stock gave the communications company a $128 million in profit. Wow.
When the transaction closes, IPG expects to record a pre-tax gain of $132 million. The proceeds will be put towards its existing stock repurchase program. IPG is going to be buying $450 million shares, up from $300 million.
[AdWeek]This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at +AmitChowdhry