Dec. 19 - Facebook founder and CEO Mark Zuckerberg is selling 41.4 million shares worth about $2.3 billion to pay a tax bill. Conway G. Gittens reports.
Anyone who didn't jump on the Facebook bandwagon when the social network first went public a year and a half ago, may be glad to hear a new block of stock is coming to market. Founder and CEO Mark Zuckerberg is selling over 41 million Class A shares worth about $2.3 billion. Most of this money will go to the IRS in taxes for buying Class B shares, which hold more voting control, though the swap will slightly reduce Zuckerberg's overall voting power. The sale is all part of a bigger offering by Facebook and another investor to sell 70 million common shares. And comes as the social network prepares to join the S&P 500, which is sure to spark demand from portfolio managers who have to mimic the index. The stock price, which has doubled in value this year, was down as plans of the sale were made public in a regulatory filing.