Summary:

Is Facebook worth $70 billion? Investment fund GSV Capital thinks so — the firm announced Monday that it has purchased $6.6 million worth o…

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Is Facebook worth $70 billion? Investment fund GSV Capital thinks so — the firm announced Monday that it has purchased $6.6 million worth of Facebook shares at an average price of $29.28 per share.

That works out to a valuation of about $70 billion. It’s unclear whom GSV bought the shares from–or exactly when they were bought. The purchase was made via a “private secondary transaction,” according to TechCrunch.

Facebook’s valuation has been on rocketing upward the last couple of years. Back in May 2009, the company was valued at $10 billion. Last June, that number rose to $24 billion. But the big leap came in January of this year, when Goldman Sachs invested at a $50 billion valuation.

Facebook’s sky-high valuation is further evidence of the red-hot demand for a piece of the high-flying social network, which is expected to go public next year. Despite the sharp jump over the last couple of years, many think that the IPO, when it happens, will push the social network’s valuation up over $100 billion.

GSV, a publicly traded investment fund, said its investment represents about 15% of its total portfolio. In midday trading, GSV shares had risen over 30 percent.

“Facebook is a one-of-a-kind business which has created enormous network effects,” Michael T. Moe, GSV Capital’s CEO, said in a statement. “With over 650 million people on its platform, or approximately 1/10 of the world’s population, Facebook has established itself as a next generation social communications platform.”

GSV said the purchase is subject to a “Right of First Refusal,” which would give Facebook the chance to buy back the shares itself. The investment fund, which says its mission is to invest in the premier VC backed private companies in the marketplace today — “at attractive valuations” — said it is working on closing several other private company investment within the next 30 days.

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