Tuesday, September 4, 2012

Do you feel sorry for the Facebook investors or are you laughing your ass off at them ?

I am gloating and relieved I didn't fall for the hype.  Facebook will go down in IPO history as the worst IPO ever.  Now, Facebook plans on buying back their stock at $19/share. Investors who paid twice that amount at the IPO opening will feel the pain that  their investment is being bought at half the price they paid for the stock. Will this be a good move ?  I wonder.

 .....  Facebook just released an SEC filing    that contained a whole bunch of nuggets of information, including the following:
Directors Marc Andreessen and Donald Graham will soon be selling some stock (enough to pay the taxes owed on their stock grants)

CEO Mark Zuckerberg will not sell any more stock for at least a year (he sold $1.1 billion at $38 on the IPO)

The company is accelerating the lock-up release for many employees to October 29. On October 29, 234 million employee-owned shares will become available for sale. (That will be an exciting morning.)
The company will withhold 101 million shares of stock (for tax witholdings) out of a total of 234 million shares that are owed to employees on October 25.....

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