Facebook Bought Whatsapp - Everything You Need to Know!

Facebook Bought Whatsapp - With so much money sprayed in Silicon Valley, it's difficult for an acquisition to create a stir. Facebook's (FB) procurement of WhatsApp in 2015 did just that-- surpassing Google's (GOOG) $3.2 billion acquisition of Nest Labs as well as Apple's (AAPL) $3 billion Beats Electronic devices purchase-- to become 2014's leading procurement and among the biggest tech purchases of perpetuity.

WhatsApp, a message messaging app utilized commonly across the globe, swiped headings with its initial $16 billion quote from Facebook. In 2013, the app lost $138 million and brought in $10.2 million in profits. So how did the firm gain Facebook? This post checks out Facebook's record damaging procurement and also the actions it required to arrive.

Facebook Bought Whatsapp

Facebook Bought Whatsapp

It turns out he's offered more than 22 million shares worth about $2.8 billion given that January.

Facebook consented to acquire WhatsApp in February 2014 for over $19 billion in stock, and also the cost had actually risen to $22 billion by October, when the offer shut, thanks to Facebook's increasing stock rate. Koum possessed about 45% of the firm when he marketed it, Forbes estimates, which indicates his take on paper had to do with $10 billion. He likewise got a seat on Facebook's board.

At the end of 2015, according to Facebook's annual proxy filing, Koum owned over 60 million shares of ordinary shares. He likewise had another 19 million limited supply devices, which vest in time as well as work as a reward for him to stick around until November 2018.

Based on that vesting routine, it appears like he's made concerning 3 countless those RSUs thus far this year.

So generally, he's marketed regarding one-third of his current risk in Facebook this year.

Koum's supply sales come as WhatsApp continues to grow rapidly and as the company is making changes to the service that can open brand-new moneymaking chances, however also takes the chance of estranging some customers.

On Thursday, Facebook introduced that WhatsApp was altering its personal privacy policy for the very first time since the acquisition to allow Facebook to see the contact number that a customer shares when they sign up for WhatsApp. Facebook can utilize this information to allow services to get in touch with users straight via WhatsApp, as they can currently do through Carrier, as well as will permit Facebook to reveal even more relevant advertisements to logged-in individuals. Nevertheless, WhatsApp said it would not share these contact number directly with customers.

WhatsApp passed more than than 1 billion regular monthly customers in February as well as is one of the most prominent conversation application in over half of the globe, according to current stats from SimilarWeb.

Facebook had no talk about the sales, as it doesn't talk about individuals' investment decisions.