Thiel Preparing To Sell Facebook Shares?

Aug 15 2012 | 11:14am ET

Clarium Capital Management founder Peter Thiel may be looking to unload a few more Facebook Inc. shares.

Thiel, who founded PayPal and who was an early investor in Facebook, converted more than 9 million of his shares in the company from Class B to Class A, the latter being easier to trade publicly. Thiel, who serves on the social-networking giant's board of directors, had already sold more than 16 million Facebook shares in its giant initial public offering.

Thiel made $630 million on the IPO. Since going public, however, Facebook shares have plummeted by almost half, meaning that Thiel's remaining stake in the company is worth about $550 million. Most of Thiel's shares are Class A shares.

Restrictions on early Facebook investors mean that most can't sell their shares until at least tomorrow. It is unclear whether Thiel plans to unload more Facebook shares, but he has surrendered some power over the company with his move; Class A shares may be more liquid than Class B, but they carry less voting power.


In Depth

Dillon Eustace: The Advantages of ICAVs

Feb 11 2016 | 7:51pm ET

As the growth of alternative investment vehicles continues, global asset managers...

Lifestyle

Citadel's Ken Griffin Donates $40M To New York's Museum of Modern Art

Dec 22 2015 | 9:23pm ET

Citadel founder Ken Griffin has donated $40 million to New York’s Museum of Modern...

Guest Contributor

Hedging Against Reputational Risk in the 21st Century

Feb 12 2016 | 7:18pm ET

For investors, the first step in researching a new fund or manager is to google...