The World’s Two Youngest Billionaires Lose Combined $2.6 Billion in One Day
Tuesday, May 22nd, 2012 5:39:23 by Fahad Zafar
The World’s Two Youngest Billionaires Lose Combined $2.6 Billion in One Day
The Nasdaq was up more than 2% on Monday but Facebook, the high profile social networking site that listed on its exchange on Friday, crashed and burned on its second trading day as a public company. That is not exactly news. Forbes has been covering the
drop, and the reasons behind it, throughout the day. (See stories at left).
Still the hit to its CEO Mark Zuckerberg’s personal fortune is notable. The value of his direct holding in Facebook plunged by $1.87 billion today to $15.1 billion as shares of the social network fell by 11%. His options also tumbled by $200 million and
are now worth $1.4 billion. But that overstates their eventual value to the young tech titan, who will have to pay a hefty tax of nearly 50% when he exercises them.
He ended today as the sixth richest person in tech, behind Microsoft’s Bill Gates and Oracle’s Larry Ellison but also Amazon’s Jeff Bezos, and Sergey Brin and Larry Page, who have cash from selling Google shares as well as their multibillion dollar holdings
in their search engine and are worth more than $18 billion apiece.
We don’t imagine Zuckerberg will lose a lot of sleep over this news. From his wardrobe (hoodie and jeans) to his $7 million house (price paid) to his low-key backyard wedding, the newlywed eschews extravagant living. Same is true for his former roommate
and co-founder Dustin Moskovitz, who flies commercial and bikes to work. Moskovitz, who left Facebook in 2008, lost half a billion dollars in Monday’s shellacking.
Hopefully tomorrow, which is also Moskovitz’ 28th birthday, will be a better one. One thing is for certain: these two young men, who got rich at such a wildly young age, have many highs and lows ahead of them.
Tags: facebook, Mark Zuckerberg, MoskovitzShort URL: https://www.newspakistan.pk/?p=23036
Posted by Fahad Zafar
on May 22 2012. Filed under Business.
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