Facebook is expected to add at least three new banks to work on its initial public offering, according to people familiar with the situation.
Deutsche Bank, Credit Suisse and Citigroup are the most likely candidates to be added to help manage the $5bn offering, which is expected in the coming months.
The banks would not confirm the plans. A Facebook spokesperson declined to comment.
The deal has been among the most hotly pursued by banks in recent years, with the reputation of their equity underwriting franchises at stake in what may be among the biggest US technology IPOs.
Morgan Stanley has the lead position, with JPMorgan Chase and Goldman Sachs also in top roles, with additional help from Bank of America Merrill Lynch, Barclays Capital and Allen & Company.
Though Facebook would not elaborate on any plans, it is common for additional banks to be added later in the IPO process, especially in large ones. These banks may take responsibility for a small segment of clients and also provide further analyst coverage on the stock.
Additional banks on a deal often help to expand the breadth of a stock’s distribution to other countries or a different class of investors, such as retail, though in Facebook’s case it is already a globally known brand with 850m members across dozens of countries.
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