Facebook to delay IPO until late 2012

Wed Sep 14, 2011 5:44pm EDT

Facebook CEO Mark Zuckerberg speaks during a news conference at Facebook's headquarters in Palo Alto, California July 6, 2011. REUTERS/Norbert von der Groeben

Facebook CEO Mark Zuckerberg speaks during a news conference at Facebook's headquarters in Palo Alto, California July 6, 2011.

Credit: Reuters/Norbert von der Groeben

Related Topics

(Reuters) - Facebook will delay its initial public offering until the end of next year so employees can focus on developing products for the No. 1 social networking website, the Financial Times reported on Wednesday.

Facebook, which is expected to have one of the biggest IPOs in history, plans to go public at the end of 2012, a later public debut than it originally planned, the newspaper said, citing people familiar with the company.

The newspaper reported that chief executive Mark Zuckerberg wants to delay an IPO until September or later in 2012 so employees can stay "focused on product developments rather than a pay-out." The decision was not related to market conditions, the paper said.

Facebook could not be reached for comment.

Sources told Reuters earlier this month that Facebook's revenue doubled to $1.6 billion in the first half of 2011. Investors have pushed its valuation to roughly $80 billion in the private markets.

(Reporting by Liana B. Baker; Editing by Gary Hill)

FILED UNDER:
We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/
Comments (2)
TerenceLee wrote:
Interesting decision – you’d think with Google Plus gaining popularity and LinkedIn already public, they’d be keen to make hay while the sun is shining.

Sep 14, 2011 6:20pm EDT  --  Report as abuse
GreyWolfSC wrote:
They have no tangible product and the service they offer is of negligible market value unless you’re an advertiser. Facebook essentially offers digital air and balloons tend to pop.

Sep 14, 2011 8:30pm EDT  --  Report as abuse
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.