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
Like Us On Facebook
Like Us On Facebook

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

World Sean Levinson

The Average Penis Sizes By Country May Or May Not Shock You (Photo)

This chart created by humor website 9gag is based on the average penis sizes around the world, and everyone’s probably pretty jealous of Congo right now. The original page doesn’t say where the statistics come from, but they definitely support some socially-perpetuated stereotypes. The US is below the global average and if it’s assumed the […]

World Sean Levinson

Chechen Leader Detains 1,000 Wedding Guests All Night Over Missing Phone

The head of Chechnya has a widely publicized addiction to Instagram, often posting photos several times a day featuring everything from food to exotic animals to religious rhetoric. Ramzan Kadyrov has also repeatedly been accused of abusing his power, and the two habits crossed paths on Saturday when the 37-year-old attended a lavish wedding with […]

Also On Elite

Life

33 Things That Are Literal Hell That Only Londoners Will Understand

Anyone who was raised (or who has lived) in London knows it to be an incredible place. It’s cosmopolitan, multicultural and ethnically diverse. For many reasons, it’s an amazing city to live in; it’s home to some of the world’s most beautiful architecture, landscaped parks, buzzing restaurants and a rich history. But sharing a small […]

World

Man With Dwarfism Makes Hidden Camera Video To Show People’s Insensitivity

Jonathan Novick is a 22-year-old who was born with a kind of dwarfism called achondroplasia. Because of his height, he’s often the butt of cruel jokes and obviously gets stared at on the New York City subway system. Novick believes that people just don’t have the vocabulary to talk about dwarfism correctly. In an effort to make […]

Sports

Peyton Manning Breaks It Down To ‘Rocky Top’ Before Practice (Video)

Denver Broncos’ star Peyton Manning is all business on Sundays, but even the toughest football warrior has to let his guard down occasionally. A recent video shows a glimpse of the Peyton that his fans don’t know as well, sunburnt and wiggling his hips to “Rocky Top” before practice on Monday. Even wide receiver Wes Welker […]