|NEW YORK, NY - APRIL 09: In this photo illustration, the photo-sharing app Instagram fan page is seen on the Facebook website on the Apple Safari web browser on April 9, 2012 in New York City. Facebook Inc. is acquiring photo-sharing app Instagram for approx. $1 billion. (Image credit: Getty Images via @daylife)|
More than 5 billion photos have been shared by people using Instagram, which now becomes part of a social network that has nearly 1 billion members. The cash-plus-stock deal would have added another "billion" to that sentence if it had closed in April, but because Facebook's stock price tanked after the company went public, Instagram now joins the social network for a mere $741 million instead of $1 billion.
In a blog post announcing that the deal had officially closed Thursday, Instagram said its team will be moving from San Francisco to Facebook headquarters in Menlo Park.
According to Associated Press, the deal closed on Friday August 31, at which point Facebook's share price was US$18.06. This places the value of the deal at US$715.38 million. After trading resumed on Tuesday August 4 (as August 3 was a public holiday in the US), Facebook closed at its lowest point ever, at US$17.73 per share.
Instagram's team, which recently celebrated the 5 billionth photo shared through its photo app, will now move to Facebook's offices. It reassured its followers on its blog today that the "Instagram app and its features will stay the same one you know and love."