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I don't understand that at all. Suppose the shareholders' dreams happen and Facebook starts earning enough to make dividend payments that repay the value of the
by waps 13y ago
I don't understand that at all. Suppose the shareholders' dreams happen and Facebook starts earning enough to make dividend payments that repay the value of the stock in, say, 10 years.
What's to stop Zuckerberg from just directly diluting every other shareholder ?
(and of course, that's exactly what probably happens right now, because Zuckerberg gets more stock options yearly than anyone else, so his voting power does not dilute over time)
Please don't see this as an attack on Facebook. It's hardly alone in doing this. And I do agree that Zuckerberg is probably a lot more qualified to run Facebook than any (set of) investors. Still, why take the risk that he might "cheat" ? Why are these shares selling ?