The long-awaited acquisition of Instagram by Facebook cleared another major hurdle on Wednesday. The California Department of Corporations approved the social network’s request to issue stock following the purchase of the popular photo-sharing application. While the deal has yet to officially close, it is almost a done deal.
The Wall Street Journal reported Wednesday that the deal was approved by the California Department of Corporations, who declared that the deal was fair.
Last week, the Federal Trade Commission gave the acquisition its blessing, largely clearing the way for the purchase to go through. Now it appears that the deal is nearing the end. Soon, Instagram will officially be part of Facebook.
Instagram founder Kevin Systrom commented on the acquisition in the Wall Street Journal story:
I’ve been taught throughout my life to realize there’s upside and downside to all public markets. We still believe firmly in the long-term value of Facebook.
Readers: What effect will Instagram have on the value of Facebook’s stock, once the deal is official?