Despite earlier reports of weak demand, Facebook ‘s initial public offering is highly oversubscribed and could result in a higher price range for the shares next week, sources told CNBC Friday.
The company could issue a revised filing with a higher price range around Tuesday of next week, according to these people.
Much of that demand is the result of institutional investors, according to one of these people — Facebook is expecting a standard 10-20 percent of the deal to go to retail investors, who historically have had strong appetite for name-brand technology stocks like Facebook.
Since the company’s roadshow is still ongoing, the calculus around pricing and demand could change, these people added. The order book on the deal is expected to close next Wednesday, the day before the company is set to finalize a price for the deal.
Facebook has filed to price its IPO at a range of $28-$35 — in a deal that could raise up to $13.6 billion in proceeds, and value the company at around $96 billion.
A Facebook spokesperson declined to comment on the IPO.