Facebook Receives $200M Investment at $10 Billion Valuation

Authored by Mark Hefflinger on May 26, 2009 - 8:47am.

Palo Alto, Calif. - Confirming reports from last week, online social network Facebook on Tuesday announced that it has received a $200 million investment from Eastern European financing group Digital Sky Technologies (DST), which received a 1.96% equity stake in the company, valued at $10 billion for the transaction. "A number of firms approached us, but DST stood out because of the global perspective they bring -- backed up by the impressive growth and financial achievements of their internet investments," said Facebook CEO Mark Zuckerberg.

Moscow-based DST said it additionally plans to offer to purchase at least $100 million of Facebook stock from existing shareholders, including current and former employees.

As part of the deal, DST will not take a seat on the company's board, "consistent with Facebook's practice with other recent investors."

DST's other investments include Mail.ru, Forticom and vKontakte -- a Russian online social network.

Related Links:
http://snipurl.com/itgex

http://www.dst-global.com