The Final Price of Facebook’s Instagram Acquisition: $715 Million

on October 24, 2012 | Comments (0)

Facebook have just released their Q3 2012 financials and the news is rather positive. Facebook’s mobile ad business is growing but there has also been some interesting news for Instagram.

The SEC documentation reveals the true price Facebook paid for the Instagram acquisition – $300 million (USD) in cash and 12 million vested shares of Class B common stock.

Instagram’s employees at the time also received 11 million un-vested shares.

This means the total aquisition comes to 22,999,412 shares and $300 million cash – coming to a grand total of $715 million for the purchase.

This is a bargain price for a social network with 100 million active users. Considering Instagram only had 27 million users back in April, growth is exploding and getting closer and close to overtaking Twitter.