Facebook raises IPO price

after the public offering is expected to be the largest of the earliest for an internet company, Facebook made a bigger IPO. Social networks in the world's largest online on Tuesday plans to increase the price range for the stock to $ 34 to $ 38 per share in filings with the Securities and Exchange Commission. That's up from the previous range of $ 28 to $ 35. At the upper limit of $ 38, sales will increase by about $ 12.8 billion. The move, which values ​​Facebook as high as $ 104 billion, comes amid investor worry about the supply of excitement. Analysts compare the IPO frenzy around Facebook for Google Inc. in 2004, although the sheer size of the latter pales in comparison. At the same time, half of Americans think the value of Facebook Inc. is expected to be too high, according to poll the new Associated Press-CNBC made before the company raised the expected stock price on Tuesday. Only a third of those surveyed said they thought up the expected value is appropriate. Wall Street does not share that sentiment. "Demand for high disgusting," said Scott Sweet IPOBoutique advisory firm owners about bidding. That said, he recorded Facebook still need to be careful to not raise prices too much, so the stock is still not good at the start of trading on the Nasdaq Stock Market, as expected on Friday. "This is a deal that really should work, in this very high profile," he said. "It will be the market rate if the Facebook IPO flopped." As it stands, Facebook will become the fourth largest U.S. IPO in history, beating AT & T Wireless, the 2000 IPO raised $ 10.6 billion according to Renaissance Capital, an investment advisory firm IPO. AP-CNBC survey, meanwhile, found that the average Americans who invest in the stock market, 58 percent think the valuation is too high up around $ 100 billion. That was more than well-known companies such as Ford and Kraft but smaller than Google or Microsoft. About 3 out of 10 investors called the expected fair value. Price concerns will not necessarily stop potential investors. Facebook raised its price range demand a strong response to the stock, and it is possible that the shares can be priced higher on Thursday. Company Menlo Park, Calif.-based offering 337 million shares in the IPO. Of those, 157 million shares did not come from the company, but from existing shareholders, including the company's initial investor and CEO Mark Zuckerberg. Even after the offering, Zuckerberg will remain the single largest shareholder Facebook. And he will control the company through 57 percent of the voting stock of the company. Based on the high end of price range, he will get about $ 1.15 billion of shares he sold. IPO is expected to increase more than 10 times as much as Google raised $ 1.67 billion eight years ago. On the value of $ 38 per share, the high end of the expected range of Facebook, Facebook will generate $ 6.84 billion in stock. Existing shareholders will collectively make a $ 5.98 billion. Even at the higher price range, it will be difficult for fans of the company and investors every day to get in on the IPO. Most of the stock is expected to go to people with connections to the company or those who have large, active accounts with major banks or brokerage firms that were directly involved in the sale of shares. Morgan Stanley led a team of 33 underwriters selected for the victim up, followed by JPMorgan Chase and Goldman Sachs. The company will trade under the symbol "FB". Analysts say there is much interest in the shares of Facebook that some underwriters are closing their books early on Tuesday. This means they will no longer accept orders from potential buyers. In a filing Tuesday, Facebook also adjusted the schedule for completing $ 1000000000 Instagram acquisition, said it expects the deal to close around 2012. Previously, it has said it expects to complete the deal in the second quarter. Some analysts have speculated that the acquisition of photo-sharing network will come under regulatory scrutiny. If the deal does not close on Dec. 10 may have to pay Instagram Facebook breakup fee of $ 200 million.