Facebook Gets Goldman Sachs Investment Based On $50 Billion Valuation
Posted on Mon Jan 3, 2011 09:16 AM PDT

facebook200.jpgLOS ANGELES, California (X17online) - Facebook has just raised $500 million from Goldman Sachs and a Russian investor in a deal that values the company at $50 billion, making the company more valuable than eBay, Yahoo and Time Warner.

This new venture will allow Facebook more power to steal valuable employees, develop new products and possibly pursue acquisitions — all without being a publicly traded company. The investment may also allow earlier shareholders, including Facebook employees, to cash out at least some of their stakes. Unfortunately, the deal could add pressure for Facebook to go public even as its executives have resisted.

Also as part of the deal, Goldman is expected to raise as much as $1.5 billion from investors for Facebook at the $50 billion valuation. The deal may also double Zuckerberg's personal fortune, which Forbes estimated at $6.9 billion when Facebook was valued at $23 billion. That would place him on the same level with the founders of Google, Larry Page and Sergey Brin, who are reportedly worth $15 billion apiece.

MORE NEWS... »