Apple Co-Founder Steve Wozniak Would Buy Facebook Any Price
May 14 (Bloomberg) — Apple Inc. co-founder Steve Wozniak said investors looking to make money should buy Facebook Inc. shares when the social networking site sells stock in what may be a record initial public offering for an Internet business.
Wozniak, who built the first Apple computer with Steve Jobs and co-founded the company with him in 1976, said he would consider buying the stock regardless of its valuation this week. Mark Zuckerberg, who started Facebook while a student at Harvard University in 2004, combines Wozniak and Jobs’s talents, he said in an interview yesterday.
Facebook’s IPO, scheduled for May 17, plans to raise as much as $11.8 billion and values the operator of the world’s most popular social networking site at as much as $96 billion. Investors in the sale are betting the company’s database of 526 million daily active users makes it worth about 99 times the net income earned in the 12 months through March 31.
“I would invest in Facebook,” Wozniak said in an interview with Bloomberg Television in Sydney. “I don’t care what the opening price is.”
A Bloomberg poll of investors conducted May 8 found 79 percent thought the valuation implied by the IPO was too high.
The Menlo Park, California-based company is offering 337.4 million shares at $28 to $35.
“It’s a bit of a gamble,” Paul Budde, an independent telecommunications analyst, said by phone from Bucketty, Australia today. “There are plenty of risks along the line.”