YouTube Founders, Investors File to Sell Google Stock...both worth over $500,000,000

Discussion in 'Wall St. News' started by S2007S, Feb 8, 2007.

  1. S2007S

    S2007S

    Just to let you know both of these founders are under the age of 30, both already worth $500,000,000. All this from a website that shows videos. What could you do with $500,000,000???????



    YouTube Founders, Investors File to Sell Google Stock (Update4)

    By Jonathan Thaw

    Feb. 7 (Bloomberg) -- YouTube Inc. founders and investors may reap as much as $1.53 billion selling Google Inc. stock they received when the video-sharing Web site was bought last year.

    YouTube investors and executives including co-founders Chad Hurley and Steve Chen registered to sell 3.23 million shares, Mountain View, California-based Google said today in a filing with the U.S. Securities and Exchange Commission.

    Google bought San Bruno, California-based YouTube for $1.65 billion in November to tap the market for online video advertising. Hurley and Chen, who founded YouTube in February 2005, may each sell shares worth about $326.2 million as of today's closing price. Sequoia Capital, YouTube's largest investor, may sell shares worth $504.4 million.

    ``You can't overlook the fact that these guys had a great idea,'' said Allen Weiner, an analyst at Gartner Inc., a market research firm in Stamford, Connecticut. ``Some of it was timing, but I think it impacted so many big businesses, which is what drove this price.''

    Shares of Google, owner of the world's most-used Internet search engine, declined $1.47 to $470.01 at 4 p.m. New York time in Nasdaq Stock Market composite trading. They have gained 2.1 percent this year.

    YouTube

    YouTube is the most popular video-sharing site on the Internet, attracting more than 38 million U.S. visitors in December, according to Nielsen//NetRatings, which tracks Web use. Google's own video site had more than 20 million visitors.

    YouTube has sparked criticism from some content providers because of copyrighted material uploaded by users. Last week, Viacom Inc. asked YouTube to remove 100,000 videos it said were posted without permission.

    The Google filing today highlights the range of investors who stand to benefit from the purchase of YouTube. Artis Capital Management LLC, a hedge fund, may sell Google stock worth about $83 million. Brown University, Dartmouth College, the Ford Foundation, J. Paul Getty Trust and Oxford University Fund L.P. are among more than 100 investors that will benefit through Sequoia Capital's investment.

    ``The fact that an acquisition of such a young company took place at such a large scale does say something about the speed with which business is moving in Silicon Valley,'' said Sean Randolph, president of the Bay Area Economic Forum, a San Francisco-based group the promotes economic development.

    Waiting for Profit

    YouTube employees will need to wait until their shares are vested, or eligible for sale, before cashing out. Google said it will pay registration fees for the shares, which will cost about $333,337.

    Google said investors' holdings include shares held under escrow, a provision that was part of the YouTube acquisition to protect against copyright claims.

    Jawed Karim, who founded the company along with Hurley, 29, and Chen, 28, registered to sell 137,443 shares, worth about $64.6 million. The purchase of YouTube was Google's biggest acquisition ever.

    Other Internet startups in Silicon Valley may not see that same kind of payday, Weiner said.

    ``People that come up with really good ideas are probably going to make a fiftieth'' of the value of the YouTube deal, he said. ``It is a bit of an anomaly.''
     
  2. xxxskier

    xxxskier Guest

  3. xxxskier

    xxxskier Guest

    follow the link i posted above to see who made how much.
     
  4. Looks like the secretary from youtube made around $1.2 mil!:eek:
     
  5. nkhoi

    nkhoi Moderator

    then who is buying? :D
     
  6. xxxskier

    xxxskier Guest

    "The shares of Class A common stock listed in the table appearing in the “Selling Stockholders” section of this prospectus are being registered to permit public secondary trading of these shares by the holders of such shares from time to time after the date of this prospectus. Registration of the shares of Class A common stock covered by this prospectus does not mean, however, that those shares of Class A common stock necessarily will be offered or sold. "
     
  7. Only in America god I love this country!!
    Honestly I actually mean it.
     
  8. google overpaid for a site that either panders to imbeciles, or posts copyrighted material.

    The cr stuff is just about the only thing worth bothering with on youboob.