Facebook is set to make another very large purchase. The social network is going to be buying messaging service WhatsApp for the sum of $16 billion and, according to an SEC filing, this sum will be split between $4 billion in cash and $12 billion in Facebook stocks. A further $3 billion is Facebook stock will “…granted to WhatsApp’s founders and employees that will vest over four years subsequent to closing.”
Mark Zuckerberg said in a statement announcing the acquisition “”WhatsApp is on a path to connect 1 billion people. The services that reach that milestone are all incredibly valuable. I’ve known Jan for a long time and I’m excited to partner with him and his team to make the world more open and connected.”
WhatsApp founder Jan Koum also commented, saying “WhatsApp’s extremely high user engagement and rapid growth are driven by the simple, powerful and instantaneous messaging capabilities we provide. We’re excited and honored to partner with Mark and Facebook as we continue to bring our product to more people around the world.”
Source: Ars Technica
