Bono's company buys $120 million stake in Facebook
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Add Bono to your Friends List. This week Bono's investment firm, Elevation Partners, has set its sights on Facebook.
Elevation, a private-equity firm that counts the Irish rock star as a key backer, has plunked down $120 million to enlarge its stake in the social-networking site, bringing its total investment in the company to $210 million.
And in contrast with recent investments Elevation's Facebook gamble appears to be successful. That will help Elevation persuade its investors to give it a one-year extension on investing the $1.9 billion its fund has raised.
Elevation shelled out $90 million last November, or $36 a share, for a 2.5-million-share stake in Facebook that amounted to about 1 percent of the company.
In its latest purchase of Facebook shares, Elevation has cut an even better deal, purchasing them at an average of $24 each. In total, Elevation's purchase price values the company at $14 billion, versus the $24 billion valuation reflected in the current secondary market.
Elevation partner Marc Bodnick is the brother-in-law of Facebook operating chief Sheryl Sandberg.
