Facebook Director Sold 20M Shares

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Normally this is the part where everyone would start criticizing this guy for cashing out stock to the tune of $400M. I say "normally" because, for that kind of money, I can't say I blame the guy. ;)

Facebook Inc director Peter Thiel sold roughly $400 million worth of shares in the Internet social networking company last week, cashing out most of his stake, according to a regulatory filing. Thiel sold his shares on Thursday and Friday at average prices ranging between $19.27 and $20.69 per share after the end of the first lockup, which barred early investors and insiders from selling shares following the initial public offering.
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Given the share price nosedive since the IPO, I definitely can't blame him...
 
It's a pump and dump scheme, what do you expect? In a few months this stock is easily going to fall to $15 or lower....
 
Who the hell is buying this crap? :confused:

"Hey do you want to buy my shares for $400m, they'll be worth about $2m in a month or two and youll never get any money from them"
"Sure! Right after I finish with this equation"
"What is it?"
"400-398="
"Thats not an equation! But the answer is 2"
"Are you sure, I was looking at 3000... Hmm, so i'll make 2m dollars? Sure i'll buy them!"
 
>Laws prevent new investors to a recently launched IPO from pumping and dumping, meaning if they buy stock, they are forced to hold onto it for 3-4 months before selling it.
>Due to completely unethical price fixing, reportedly investigations being done that stock price was launched criminally high in order to generate funds for facebook and a giant "Fuck you!" too investors, Facebook Stock launches at $40+ per share.
>Stock price plummeting at warp 9.9999999~, people by law are unable to sell stock, blowing their investments out the ass because Facebook stock was hilariously inflated at launch, and stock price is settling rapidly
>Existing Facebook stock owners -IE- people who owned stock in the company before it went public, are in a legal loophole where they can sell stock before early investors can, Facebook director cashes out his entire stock as quick as fucking possible.
>Real investors left with a dying stock, still unable to sell it, Facebook's existing owners make out like fucking bandits.

How the fuck is this fucking legal?
 
If I were him, I'd sell all my shares then retire first moment I have the chance.
 
considering he only invested $500k, I'd cash out even at $10 a share.

someone needs to kidnap him and demand ransom
 
To think he probably had visions of being in the billionaire club after the IPO...instead he "settled" for 400 mil.
 
dr.kevin said:
considering he only invested $500k, I'd cash out even at $10 a share.
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Yarr, the dude is a professional VC with no interest in the nurturing the long term growth of FB or any of the shit in his portfolio. He cashes in, he cashes out.

He invested to make money and cashed out with a massive return as soon as he he could legally do so.

He has no doubt done the same before and will again, over and over.

I have no insight into, or vested interest in, the success or failure of FB, I'm quite confident though that people are reading too much into what is pretty much SOP for a venture capitalist.
 
Social networking sites are never going to stay around like a normal companys, so the guy is smart to get out while FB has any value at all.
 
facebook is too big to fail. quick, lets give them 100 billion in tax money to save the company!!!!!

or, since the individual mandate was ruled constitutional and the govt now can command you to purcahse goods and services from private companies... the govt can just force everyone to buy facebook stock to keep it floating.

if you dont purchase $1000 worth of stock, they fine, er "tax" you $1000.

its a win / win!
 
Glad I don't know anyone who bought this turd of a stock, I'd never hear the end of it. [ie. the whining over getting suckered into buying it]
 
Seems like a smart move to me. I'd be wouldn't be surprised if a few years from now the stock is worth half that or less.
 
ShamisOMally said:
>Laws prevent new investors to a recently launched IPO from pumping and dumping, meaning if they buy stock, they are forced to hold onto it for 3-4 months before selling it.
>Due to completely unethical price fixing, reportedly investigations being done that stock price was launched criminally high in order to generate funds for facebook and a giant "Fuck you!" too investors, Facebook Stock launches at $40+ per share.
>Stock price plummeting at warp 9.9999999~, people by law are unable to sell stock, blowing their investments out the ass because Facebook stock was hilariously inflated at launch, and stock price is settling rapidly
>Existing Facebook stock owners -IE- people who owned stock in the company before it went public, are in a legal loophole where they can sell stock before early investors can, Facebook director cashes out his entire stock as quick as fucking possible.
>Real investors left with a dying stock, still unable to sell it, Facebook's existing owners make out like fucking bandits.

How the fuck is this fucking legal?
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What do you mean by "early investors"? If you bought FB stock on IPO or after, you can sell it anytime. It's people that had FB stock before it went public that could not sell until later, ie. this guy.
 
He didn't sell in response to the drop. On IPO day he committed to sell now.
The sales, in which Thiel sold roughly 20 million Facebook shares, were conducted as a result of a trading plan that Thiel entered into on May 18, according to the filing.
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