SAN FRANCISCO — Facebook has priced a secondary offering of its stock at $55.05 a share in a deal that will generate a $2.3 billion windfall for CEO Mark Zuckerberg.
The terms announced Friday are just slightly below the $55.12 closing price of Facebook’s stock Friday. The stock is now well above the $38 price set in Facebook’s initial public offering 19 months ago, rebounding from a trough of $17.55 last year fueled by concerns about the online social network’s slowing growth and ability to sell ads as more of its traffic came from smartphones instead of desktop computers.
Facebook has proven the skeptics wrong as its mobile advertising has soared to boost its revenue to the delight of investors. The company’s stock has more than doubled in value so far this year, paving the way for this secondary stock offering of 70 million shares.