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.