Russian Investment Boosts Facebook Value

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This is one of those zen moments when you say to yourself - I wish I had invested in this venture back in the day ... Add a bit of globalization, and you have a powerful mix - Russian money invested in what is arguably one of the flagship industries of the Western world. Russia's Digital Sky Technologies said it will pay $14.77 a share for Facebook common stock, boosting its stake to as much as 3.5 percent and valuing the world's largest online social network at about $6.5 billion.

More from Yahoo Tech news: While that is below the $10 billion valuation set by Digital Sky's May investment in Facebook, which was for preferred shares, investors have been valuing the social network's common stock at less than $5 billion in secondary markets in recent weeks.

Digital Sky, a Russian investment firm, bought $200 million worth of preferred shares in Facebook in May and said it would buy another $100 million worth of common shares from Facebook employees and ex-employees.

A source familiar with the matter told Reuters that Digital Sky will pay $14.77 per common share. A representative for Digital Sky confirmed the terms, and said the tender offer begins on Monday and runs through August.

Yevgeny Bendersky is the Senior Strategic Advisor for International Operations at Jenkins Hill International, LLC and a RealClearWorld contributor.
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