What were Eduardo Saverin shares diluted to?

Well, no. The next year proved disastrous for Saverin when in January 2005 Facebook issued 9 million shares. Out of it, Mark took 3.3 million shares, while both Theil and Moskovitz took 2 million shares each. The share issuance diluted Saverin’s stake from 24% to less than 10%!

How did Zuckerberg dilute Eduardo Saverin shares?

On October 31, 2004, Saverin signed a shareholder agreement that alloted him 3 million shares of common stock in the new company. This share issuance instantly diluted Saverin’s stake in the company from ~24% to below 10%.

What percentage of Facebook is Eduardo?

Saverin is one of the co-founders of Facebook. In 2012, he owned 53 million Facebook shares (approximately 2% of all outstanding shares), valued at approximately $2 billion at the time. He also invested in early-stage startups such as Qwiki and Jumio.

How did Eduardo Saverin’s stake in Facebook get diluted?

Zuckerberg issued 9 million more shares, none of which went to Eduardo. It kept getting diluted from there. Basically though, there were several rounds of dilution before Eduardo realized what happened. There’s no clause, though. Still, he’s got well over a billion dollars now, so he can’t be too upset. You’d think. Something went wrong.

How did mark Saverin get funding for Facebook?

Therefore, when Sean Parker came knocking on Mark’s door, Mark took him in. Sean quickly secured a $500,000 funding from PayPal Co-Founder Peter Thiel. Instead of a fair dilution, Mark figured a way around limiting Eduardo’s say and ownership in the company. He created a new company that bought Facebook.

How did Zuckerberg reduce Saverin’s stake in Facebook?

To ease Saverin out and limit his say over how Facebook would be funded, Zuckerberg reduced Saverin’s stake in the company. Zuckerberg did this by creating a new company to acquire the old company and then distribute new shares in the new company to everybody but Saverin. Well now, thanks to a well-placed source, we’ve come up with something cool.

Why did Mark Zuckerberg want to cut out Eduardo Saverin?

Some key points of what happened, mostly based off those IM (instant message) convos that were leaked last year: Mark Zuckerberg wanted to cut out Eduardo, since he was failing at his job.