Facebook closes acquisition of mobile messaging service WhatsApp

October 8, 2014 12:13 am

Facebook has completed its acquisition of mobile messaging service WhatsApp on Monday, with the final price tag rising an additional $3bn to roughly $22bn because of the increased value of Facebook’s stock in recent months, Reuters reported. WhatsApp founder Jan Koum will receive nearly $2bn in stock, vesting over a four-year period, as an inducement for him to stay with the company, according to a regulatory filing on Monday. The acquisition, which Facebook announced in February and recently received regulatory approval in Europe, underscores the sky-rocketing values of fast-growing Internet startups, and the willingness of established players such as Facebook and Google to pay out for them. WhatsApp, which has more than 600 million monthly users, is among a new crop of mobile messaging and social media apps that have become increasingly popular among younger users.