Facebook has set the price range for its initial public offering at $28 to $35 a share, according to a new regulatory filing. That would mean the social network could raise up to $13.6 billion through the IPO slated for May 18. Based on the 337.4 million shares it plans to sell in the offering, the preliminary price would value Facebook at $77 billion to $96 billion.
Prior to the pricing Thursday, the company had been expected to go public at a valuation of up to $100 billion. A quarter-over-quarter decline in revenue and profit in the first quarter, however, has raised some doubts about whether Facebook will be the high-growth juggernaut investors are expecting. Following its first-quarter report showing revenue fell about 6% from the fourth quarter, Pivot Research Group analyst Brian Wieser lowered his valuation of Facebook to $75 billion from $82 billion.