Facebook IPO Breakdown
Friday, May 18th the social media mega mind Facebook went public. 421 million shares became public in Facebook’s initial public offering (IPO), of those 82 million sold in the first 30 seconds. There was a huge amount of buzz surrounding Facebook’s IPO and projections ran rampant among individual investors, big business, partners and financial analysts. Facebook raised it’s per share price by 15% to $38/share after, (what some say), a strategically planned announcement by General Motors (GM) that they are pulling their $10 million ad spend from Facebook. Freshmen investors best not get their hopes up too high as 1 public share is only equivalent to 1 vote, whereas 1 original share is equivalent to 10 votes. Thus making original shareholders 96% of the Facebook votes, 56% of that being dedicated exclusively to the ever controversial founder Mark Zuckerberg.