Saudi billionaire Prince Alwaleed bin Talal has bought 2.3% stake in Snapchat worth $250 million ahead of Snapchat’s recent announcement that it had been struggling for growth. The stake purchased in May at an approximate $11 per share, the stock currently trades at $13.
Snapchat has reported a recent decline in users for its Q2 earnings in a recent report, with the number of users falling from 188 million from a previous 191 million during the last quarter – a 1.5% drop.
When spoken to about the investment, the Prince said, “Snapchat is one of the most innovative social media platforms in the world, and we believe it has only just begun to scratch the surface of its true potential, and we are blessed to be part of it.”