Russian group DST seeks $200m stake in Facebook

LONDON - Russian internet investment group Digital Sky Technologies (DST) is understood to be looking to invest $200m in Facebook, a deal which would value the social networking site at $10bn.

Facebook: DST seeks $200m investment
Facebook: DST seeks $200m investment

The offer by Russian entrepreneur Yuri Milner, who is believed to be seeking a post on the board of directors at Facebook, will also include a further investment of between $100m and $150m in Facebook stock, at a $6.5bn valuation.

However, for Milner's investment group DST to acquire the stock, Facebook employees would have to be willing to sell their shares.

The proposal by Milner is believed to be one of many funding offers the social networking site has received recently. If the deal were to be agreed, it would be the first significant funding Facebook has received since Microsoft acquired a 1.6% stake in the business at the end of 2007, which valued the company at $15bn.

DST has interests in a number of Russian internet properties, including the country's largest website, Mail.ru.

Facebook declined to comment, while Digital Sky Technologies was unavailable for comment.

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