After years of rumors about Google Inc. (NASDAQ:GOOG) buying the mobile messaging company WhatsApp, Facebook Inc. (NASDAQ:FB) announced on Wednesday that it will snap up the company for $16 billion in cash and stocks.

According to a document filed with the SEC on Wednesday, the deal will be financed with a cash payment of $4 billion and $12 billion in Facebook shares.  

The deal includes an additional $3 billion in restricted stock for WhatsApp founder Jan Koum, who will join the Facebook board, and his staff.

[[nid:1514226]]

Both brands will remain exclusive from each other, according to the SEC filing, but according to Facebook founder Mark Zuckerberg: "WhatsApp will complement our existing chat and messaging services to provide new tools for our community."

Koum said in a blog post that the purchase will allow WhatsApp to grow to its full potential.

Continue Reading Below

WhatsApp has more than 450 million users a day with 70 percent of those users using the application on a daily basis. The WhatsApp team will remain in Mountain View, Calif.