Facebook IPO Could Be Delayed Up Until June

Facebook IPO Could Be Delayed Up Until June
News
Like Us On Facebook
Like Us On Facebook

With it being just less then two weeks away from the potential launch of Facebook’s IPO roadshow, a string of acquisitions and other business distractions are becoming possible threats to the delay of the sale, say people who are familiar with the matter at hand. 

The Facebook team has been eyeing to have their offering in May and the roadshow to launch as early as May 7th. Trading of the stock would of started sometime on the week of the 14th.

In recent weeks, founder and CEO Mark Zuckerberg has been focused on running the business and making acquisitions such as buying Instagram for $1 billion to better prepare for the share sale. This made it hard for him and other managers to focus on the IPO preparations which are extremely tedious and time consuming.

As a result of this change in game plan, the roadshow will launch somewhere around May 14th or even late May depending on how things go. This would delay the initial trading until early or mid-June.

That’s because the Memorial Day holiday, which is May 28, will likely mean that the stock market is less liquid, and therefore less hospitable, to a new issue like Facebook for several trading days late in May, making it a bad time to be on the road or to launch trading.

Effectively, says one person familiar with the matter, Facebook is looking at a “Plan A, B, C, and a D” for its IPO.

A Facebook spokesman declined to comment on the expected timing of the deal.

Having a CEO like Zuckerberg whose bias is to hunker down and do his job rather than fixating on potential stock prices and investors may be more an asset than a liability.

However, Zuckerberg’s surprise decisions to buy Instagram for $1 billion over the course of a weekend and a $550 million patent portfolio from Microsoft have created the need for additional financial disclosures with the SEC, say lawyers and other people familiar with the matter, and answering all the Commission’s questions could take additional time.

Elite.

Share Tweet
React

Preston Waters

Preston Waters is a thinker. He's not your traditional philosophical persona, however, as he leaves no topic untouched. Covering all the bases, from business to women, Preston Waters is the ultimate man's man for Gen-Y.

More In News

Also On Elite

Life

5 Reasons Why Everyone Needs A Friend Under The Age Of 10

Children need to be taken more seriously. They possess the loyalty, honesty and carefree spirit we all hope to find in a best friend and there is no reason to push them to the side based solely on their lack of life experience. While we tend to think of our issues as complex and larger […]

World

Legend Writes Fake College Rejection Letter To Ask Girlfriend To Prom (Photo)

Looks like guys are finally getting the hang of that whole “sense of humor” thing when it comes to courting the girls of their dreams. Dylan asked his girlfriend Caitlyn to prom in the form of an extremely convincing college rejection letter. (Click to enlarge.) The letter starts off saying that Caitlyn has been rejected […]

Entertainment

What If ‘Game Of Thrones’ Was A Sitcom? (Video)

When you think of HBO’s “Game of Thrones,” you definitely don’t think of 70s/80s sitcoms. For one fan, the two go together like peanut butter and jelly (cue laugh track). Take a look at our favorite cutthroat “Game of Thrones” characters as happy-go-lucky friends and families who get together to play a friendly game of […]

TV

The ‘Girl Meets World’ Cast Gets Together For Its First Family Photo

90s kids everywhere are anxiously awaiting the premiere of the “Boy Meets World” spinoff “Girl Meets World,” and while we’ve been waiting the cast has been tweeting pictures, videos and behind-the-scenes footage. At this point we’ll take anything we can get our hands on, and the latest development in the series is this adorable family […]

Sports

You Probably Had No Idea Riding A Scooter Could Be This Awesome (Video)

In the world of extreme scooter riding, you’d be pretty surprised to find out how gnarly things can actually get. George von Klan is one of the most skilled riders in the out there, and after putting his talent on display in this epic two-minute YouTube video, he’ll change everything you ever thought about riding […]