Marketing Pilgrim

TechCrunch has news that Google’s closed the acquisition of YouTube. The final deal appears be worth $1.775 billion and the YouTube founders get $15 million in cash, to buy their Ferraris now.

The final price included $15 million in cash, 3,217,560 shares of Google Class A Common Stock, along with an additional 442,210 shares of restricted stock and warrants. The number of shares was determined by dividing the acquisition price, $1.65 billion, by an average value of Google stock over the last thirty days (this is a standard way of handling public company acquisitions). 12.5% of the stock is being held in escrow for one year.

I’m surprised this deal closed so fast. I would have thought they would have dragged out the deal a little longer to see how many law suits came out of the woodwork. Google must have a lot of faith in their ability to settle any copyright claims.