REPORT: Facebook Employees Lost $2 Million On Average After The IPO

As Facebook’s stock dropped since their IPO in May, the net worth of employees have dropped.  According to The Wall Street Journal, Facebook employees lost an average of $2 million since the company went public in May.  The WSJ cited data from a compensation research firm called Equilar.

As of this past Friday, the average employee’s stocks in the company were worth $2.5 million.  Upper management in the company lost so much more than the average.  For example, Facebook COO lost over $700 million since the IPO and Facebook CEO and co-founder Mark Zuckerberg lost $10.5 billion.

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Facebook went public at $38 per share in May.  The stock price hit $17.55 in early September and it closed Friday at slightly under $21.  Many employees were hoping to sell the stock above the IPO price after the employee lockup periods expire at the end of the month.  Now many employees will hold off until the stock rebounds otherwise take a much lower pay-out.


This article was written by Amit Chowdhry. You can follow me at @amitchowdhry or on Google+ at
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