Facebook COO Sheryl Sandberg banks $91 million from stock sale

By on August 12, 2013, 2:00 PM
facebook, mark zuckerberg, ipo, stock, shares, social network, coo, sheryl sandberg

Facebook chief operating officer Sheryl Sandberg recently sold close to 2.4 million shares in the social network according to a regulatory filing. Sandberg took home close to $91 million just a few days after the stock surpassed its initial public offering value of $38 for the first time and marks the largest selloff of any Facebook executive since the stock passed that mark on July 30.

Share value in the social network has climbed substantially since Facebook reported second quarter earnings late last month that beat analysts’ expectations. As of writing, it’s up 46 percent over the past couple of weeks. For reference, the stock was trading around $26 before the announcement.

Sandberg is no stranger to parting ways with her Facebook stock. She sold off around $50 million last year following Facebook’s decision to go public in May 2012. The latest sale represents only about five percent of her total holdings in the company which means there’s plenty more money to be had when the time is right.

Facebook CEO Mark Zuckerberg sold off 30.2 million shares during last year’s IPO but hasn’t sold any more since. He pointed out last year that he had no plans of selling any more stock until at least September 2013.

At last check, Zuckerberg owned somewhere around 444 million shares - a haul that would be worth more than $17 billion as of writing. Whether or not he plans to part ways with any of those shares next month is unknown at this time.




User Comments: 6

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Acespaces Acespaces said:

Smart move by her, its obvious that facebook isnt pulling in as many new people everyday as it used to. Expansions going down, Profits going down, time to get out of there!

Guest said:

How many shares are there? Gazillion?

MilwaukeeMike said:

Smart move by her, its obvious that facebook isnt pulling in as many new people everyday as it used to. Expansions going down, Profits going down, time to get out of there!

Probably not... "The latest sale represents only about five percent of her total holdings in the company which means there?s plenty more money to be had when the time is right."

If she were jumping ship she's probably sell more than 5%. There are plenty of reasons she could have sold off some stock. Maybe she wanted to diversify her fortune, maybe she expects equities in general to go down in the coming months (which many people do), or maybe she wants to start investing in real estate. Or maybe her personal tax situation means it made sense for her to sell some shares at a small gain, and that's why she did it right after the price went past the IPO price.

Perhaps she wants to make a bed out of $100 bills or was jealous of Walter White's storage unit, who knows. I wouldn't take it as a sign of Facebook's impending doom however.

MilwaukeeMike said:

How many shares are there? Gazillion?

93,080,000,000. and if she sold 2.4 million and that's 5% of her pile, that means she has 45.6 million shares left.

1 person liked this | davislane1 davislane1 said:

To those who may read this as some type of insider fear: profit taking is a core aspect of any effective trading or investing strategy, and that's exactly what Ms. Sandburg has done here. If she dumps a quarter or more of her position, that might be interesting. But the only news here is that her broker probably made a killing sweeping up commissions.

Skidmarksdeluxe Skidmarksdeluxe said:

She's quite a looker. I wonder if she wants somebody to help her spend her $91 mil... If so I'm available :-)

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