Shares of Facebook plummeted from its initial offering of $38 to about half of that in recent days, and the news isn’t getting any better for the social networking giant.  Billionaire Peter Thiel sold the majority of his Facebook shares, which only adds to the growing concerns of investors.

Shares of Facebook plummeted from its initial offering of $38 to about half of that in recent days, and the news isn’t getting any better for the social networking giant.  Billionaire Peter Thiel sold the majority of his Facebook shares, which only adds to the growing concerns of investors.

Facebook shares fell below $19 during intraday trading on Monday, but closed at $20.01 before Thiel’s sales were known.  The billionaire’s dump of shares wasn’t unexpected as there were already speculations that Thiel would get rid of most of his shares before last Thursday’s lock-up agreement.

Thiel still owns a personal stake in Facebook through his Founders Fund, and so he maintains voting control of those shares.  Although Thiel’s massive sale of Facebook shares doesn’t mean he has completely abandoned the Facebook ship, it does mean that other major investors may also be considering following suit.

Source: Forbes