Facebook raises $1.5 billion from investors

[denem]

Source: Reuters

Facebook has raised $1.5 billion from investors, under terms which the world's No. 1 online social network says gives it a value of about $50 billion.

The company, founded in 2004, said it would begin to file public financial reports no later than April 30, 2012, which many see as a precursor to an initial public offering. It could be one of the largest IPOs ever in the technology sector.

The new funding was handled by investment bank Goldman Sachs, which raised $1 billion from non-U.S. investors in a fund that Facebook said was oversubscribed.

In December, Russian investment firm Digital Sky Technologies, Goldman Sachs and some funds managed by Goldman invested $500 million in Facebook.

Read more: http://www.reuters.com/article/idUSTRE70K6VQ20110121

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Goldman Sachs. An inside deal for insiders. No disclosure. $1 billion from foreigners. No regulation: A private company free from SEC requirements.

A new era 'Not an IPO' in the Citizens United moonscape. A corporate 'person' is entitled to privacy as well as the freedom of speech.

Next Generation Scamming.
http://www.reuters.com/resources/r/?m=02&d=20110121&t=2&i=313190309&w=460&fh=&fw=&ll=&pl=&r=2011-01-21T220115Z_01_BTRE70K1O0J00_RTROPTP_0_FACEBOOK

[sarcasmo]

1. Goldman Sachs the revolving door through the government sector into the banking sector.

I still don't see how it's legal to only offer the fund to non U.S. investors.

[mike_c]

6. it probably is only legal BECAUSE it's not offered in the U.S.....

I gather the nature of the offering usually reserves it for small, quite sales to institutional investors and the like. Trying to offer up investment in Facebook that way in the U.S. runs afoul of SEC regulations. The solution? Sell it somewhere else, like DDT.

[dixiegrrrrl]

2. Not to mention a bubble and a new Ponzi scheme.

On WHAT does Facebook earn revenue, exactly?

[sarcasmo]

3. Advertising would be my guess.

[denem]

4. Selling your "Privacy" for profit.

Last week it backed off at the last minute with making your name, address and phone available to all "customers".

[JDPriestly]

5. Another dot.com boom. Don's people ever learn?