Facebook’s acquisition of Instagram for $1 billion (R7.79 billion) was concluded by Mark Zuckerberg without the help of bankers or his own board of directors according to a report by the Wall Street Journal.
Zuckerberg currently controls 57 percent of Facebook, and had all but closed the deal with Instagram CEO Kevin Systrom before informing his own board of directors.
The board “was told, not consulted” about the deal on 8 April, a day before the rest of the world learned about the acquisition.
Negotiations began on 5 April when Zuckerberg called Systrom and invited him to meet at the Facebook CEOs home.
Two days before negotiations between Zuckerberg and Systrom commenced, Instagram released a version of its application on Android. This saw its membership base grow at a rate of 2,000 people per minute, adding 10 million members in 10 days.
This explosive growth is what appears to have attracted Zuckerberg to Instagram, who has yet to record any revenue.
Read the full story at: Cnet.