Facebook Inc., the world’s most popular social-networking site, is seeking as much as $11.8 billion in its initial public offering, the largest on record for an Internet company.
About 337.4 million shares are being sold at $28 to $35 each, according to a regulatory filing from Menlo Park, California-based Facebook. That compares with the $2.92 billion IPO for German Internet company T-Online International AG in 2000, according to data compiled by Bloomberg.
Facebook is offering 180 million of the shares, while existing owners such as Accel Partners and Digital Sky Technologies are offering 157.4 million shares, according to the filing. Zuckerberg is offering 30.2 million of his 533.8 million of shares in the sale. The majority of his net proceeds will be used to pay taxes associated with exercising a stock option.
The social-network operator follows fellow Internet companies such as Zynga Inc. and Groupon Inc. in going public. Zynga, the maker of Internet games such as “Farmville,” raised $1 billion in its December IPO, while online-coupon provider Groupon raised $805 million, including an overallotment option, in November. Both stocks are trading below their offer prices.