A weekend of marriage and money for Mark Zuckerberg
It was a big weekend for Facebook founder and chief executive Mark Zuckerberg. On Friday the company launched its Initial Public Offering (IPO) and on Saturday he married his long-term girlfriend Priscilla Chan.
Some would say that it was a weekend of highs and lows, with the debut onto the Nasdaq stock exchange not faring as well as expected. The shares went public at US$38 on Friday, but instead of soaring they struggled to stay above this price.
While Facebook executives undoubtedly walked away more than a few dollars richer, it was revealed at the end of the day that banks such as Goldman Sachs and Morgan Stanley had to invest in a significant amount of shares to keep the stock value above US$38.
According to a report in the Telegraph on May 19, Morgan Stanley purchased 162 million shares – the equivalent of US$6.16 billion, while Goldman Sachs bought US$2.4 billion and JP Morgan US$3.2 billion.
It is still uncertain as to how this will play out in the long run – investors are waiting for the US stock markets to open again today to see how Facebook will fare.
IPO author Tom Taulli told the Wall Street Journal on May 20 that he believes the success or slump of Facebook could determine future public offerings for social media sites.
"If Facebook can't skyrocket and do well, then what can you expect from anything smaller?" he said.
Despite the extensive media coverage and hype, it doesn't seem that Mark Zuckerberg is too concerned. Amongst the drama of the IPO, the 28-year-old married his girlfriend Priscilla Chan in a surprise wedding on Saturday May 19.
An exclusive report by the Associated Press (AP) revealed that the couple invited guests to a party at their home in Palo Alto, California, with the intention of celebrating Ms Chan's graduation from medical school.
Instead, they put on an intimate wedding in front of fewer than 100 people – a stunt that shocked the guests, according an anonymous party speaking to the AP.
In true Facebook style, Zuckerberg updated his status to married on Saturday. Over 800,000 people 'like' his status to date.
Posted by Jess O'Connor