According to The Wall Street Journal, Morgan Stanley is close to winning the lead position on the Facebook deal, with Goldman-Sachs also rumoured to be vying for a "major role".
The valuation of the deal is said to be between $75 billion to $100 billion, with some $220 million in associated fees involved in the transaction.
Goldman-Sachs was initially thought to be leading the bidding war after it struck a deal with Facebook last year to raise $500 million, an arrangement which was later rebuked by the Securities and Exchange Commission (SEC) and cancelled in the US.
Morgan Stanley led $1.5 billion in US listed internet IPOs and took nearly 20% of market share last year.
Internet IPOs Zynga, Groupon and LinkedIn have all previously signed on with Morgan Stanley and were three of the highest-rated of 2011.
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