Facebook is selling 70m shares of its Class A common stock in a secondary issue.
The sale will see offer some 27 million shares while the other 43 million are being sold by `certain stockholders', including founder founder Mark Zuckerberg, Forbes said.
Facebook’s share price which was selling at $55.57, reacted downwards in what is expected to be temporary - selling at $54.46 and losing 1.100 cents or 1.98% of its previous value on the NASDAQ.
Mark Zuckerberg currently holds 58.8% of facebook's voting power or controls 485 million shares of its common stock.
Will the sale affect his holding? Not a chance because the sell of 41 million shares will only dip his hold to 444 million shares, but will still remain effectively in control of the company with 56.1%.
The sale comes as facebook prepares to join S&P Dow Jones, which provides investable and benchmark indices to the financial markets, after it announced a week ago that the social networking site will be joining them while fashion and lifestyle brand, Abercrombie & Fitch Co., which has been losing in popularity, will be dropped.
Who says there is a permanent friend or foe in business?
Twitter's Share values, which was put at a year's target of $41.5 during its IPO, is now selling at more $56 - gaining in value with each sale.
The news shows that technology and social networking companies hold the ace at the moment and below, we list the position of four of the quoted most popular social networks today:
Facebook: [Market capitalisation of $133.7bn] sold at more than $54.46 (a loss of 1.100 or 1.98%).
Twitter: [Market capitalisation of $30.50bn] sold at more than $56.61 (a gain of 1.105 or 1.99%).
Linkedin: [Market capitalisation of $26.11bn] sold at more than $218.43 (a gain of 3.025 or 1.41%).
Google: [Market capitalisation of $361,63bn] sold at more than $1082.45 (a loss of 2.305 or 0.21%).
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