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Facebook most valued US firm at debut on Nasdaq

Facebook most valued US firm at debut on Nasdaq

Facebook is aiming to raise $16 billion, pegging its value at $104 billion - the largest US company at its debut, more than companies like Amazon.com, Disney and Kraft.

Facebook, world's most popular social networking site, is set to be the largest US company at its debut with market worth of $104 billion, more than companies like Amazon.com, Disney and Kraft.

Facebook is aiming to raise $16 billion, pegging its value at $104 billion.

According to global deal tracking firm Dealogic, Facebook will have the largest market value of any US company at the time of IPO, ahead of United Parcel Service ($60 billion - November 1999).

Facebook's market worth would be "$81.2 billion on an undiluted basis and $104 billion on a fully diluted basis," Dealogic said.

Globally, Facebook, would have the third highest market valuation for a company at the time of its IPO, behind Agricultural Bank of China ($133 billion) and Industrial & Commercial Bank of China ($132 billion).

Facebook which priced its IPO at $38 per share - at the high end of the price band, would stand to mop up as much as $18.4 billion from the IPO, if extra shares reserved to cover additional demand are sold as part of the offering.

If the over allotment option is exercised in full, Facebook will become the second largest US IPO on record behind Visa's $19 billion offering (2008) and the fifth largest IPO globally, Dealogic said.

Facebook's $16 billion IPO tops the global internet related IPOs list, way ahead of Netherlands based World Online International NV's $2.8 billion offering, Germany-based I Online International ($2.75 billion), Google's $1.916 billion and Genuity Inc's $1.913 billion, Dealogic said.

Facebook also tops the US listed Internet IPOs since 2011, with a valuation which is much ahead of Zynga Inc and Groupon Inc.

Facebook roped in financial giants like Morgan Stanley, J P Morgan, Goldman Sachs, Bank of America Merrill Lynch, Citigroup and Deutsche Bank Securities to serve as book runners for the offering.

US listed IPOs total $29.1 billion in 2012 so far this year, up 19 per cent from $24.4 in the corresponding period a year ago.

Technology IPOs account for $18.0 billion in 2012 YTD, behind Oil & Gas ($3.0 billion) and Finance ($2.2 billion), Dealogic said.