Serj Panchuk
Facebook is reported to have filed documents on the acquisition of WhatsApp to the SEC. The deal is estimated at $16bn. Several sources report that the purchase will be paid by cash and stocks.
Meanwhile, Facebook’s stock is reported to have lost 2% of tis value instantly after the news release on Facebook’s plans to buy WhatsApp. The market was negative about the company’s purchase. Therefore, the stock dropped almost 5% in an instance but then recovered to close at $66,24 per share.
Wall Street experts are sure that market participants owning Facebook’s stock are worried that the purchase may affect Facebook itself and its near-term prospects.
CEO of Facebook says WhatsApp is going to work without any visible or hidden changes in the near future. Still, the company is planning to expand the newly purchased project later.
At this point, Facebook’s stock fully recovered from the decline and is trading around $68 per share, setting new highs. The chart below, courtesy of Optionova company, reflects the current state of affairs in the market of FB:
Serj Panchuk
