Palo Alto, Calif. – Facebook effected a 5-for-1 stock split
on Friday, a move intended to lower the price of the company’s privately-owned
shares.
“The reason is that the stock has risen significantly since our last
split, and this allows us to bring it into a similar price range as other
private companies,” Facebook spokesman Jonny Thaw told CNET.
“It also
allows us to give everyone larger stock unit grants without increasing dilution
for shareholders.”
The transaction is the third stock split at Facebook
since its launch six years ago.
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