Russian firm buys another €70m piece of Facebook

Russian investment firm Digital Sky Technologies is offering to buy up to €70  million of Facebook common stock from Facebook employees.

If the offer is taken up in full, it will bring Digital Sky's  ownership up to 3.5%.

The €10.57 per share offer values Facebook's common stock at Euro 4.7 billion  ($6.5 billion), Bloomberg said. Common stock is less valuable than preferred shares.

Digital Sky recently bought a 1.96% stake in Facebook for €143 million ($200 million), valuing the company at €7.2 billon  ($10 billion).

“This is recognition of Facebook’s growth and progress towards making the world more open and connected,” Facebook CEO Mark Zuckerberg said in a statement.

But the valuation has been reduced considerably from the €10.7 billion ($15 billion) estimate from 2007, which was arrived at after Microsoft bought a €171 million ($240 million) share.

Facebook has yet to launch an IPO, and has denied speculation that its share-selling activity necessarily means one will be imminent.

Facebook beat out MySpace by US users for the first time in May. It has long been dominant in the international market.