Russian investment group Digital Sky Technologies, which bought 1.9 percent of Facebook for $200 million earlier this year, has now boosted its stake in the company to more than five percent by buying up employee-owned shares, according to a report in Russia’s Kommersant newspaper.
At the time of its initial Facebook investment in late May, DST said it would also make an offer to buy $100 million of stock held by Facebook employees; it was reportedly offering to buy those shares at a $6.5 billion valuation. Kommersant says all in all DST has now spent upwards of $400 million on Facebook stock — and still wants to buy more.
The news comes as DST continues to show off its financial muscle in the social media space. Earlier this week, it led a massive $180 million investment in social games firm Zynga. And DST has also been talked about as a potential buyer of yet another big online brand, ICQ.
A Facebook spokesman wouldn’t comment on the report, saying that “as a private company we don’t disclose shareholder percentages.”