With 19 Billion USD, Facebook buys Whatsapp
The social network, Facebook, announced after the close of the market on Wednesday that it has acquired mobile messaging service WhatsApp for about $19 billion.
As several commentators tweeted, reaching simultaneously for the low-hanging comedy fruit: “They should call it WTFapp.”
Although the price is $19 billion, separates $4 billion in cash, $12 billion in Facebook stock, and $3 billion in restricted shares, to pay out to WhatsApp employees over the next four years. For a five-year-old company with 50 employees, that translates into $380 million per person—and a heck of a haul for the startup’s venture investors, led by Sequoia Capital. WhatsApp founder Jan Koum, will join Facebook’s board of directors.