Facebook shares rise amid fall in index

Facebook shares rise amid fall in indexThe shares of the social networking giant, Facebook has recorded an increase in the stock markets even as there is a fall in Nasdaq.

Shares of the social network have been falling all summer after an over hyped Initial Public Offering that included country wide events by the company. The completion of lock in periods that allowed investors to sell their shares of the company also results in subsequent falls in the values of the shares of the company in the stock markets in the country.

David Ebersman, Facebook’s chief financial officer had decided to increase the size of the IPO that many blame for the fall in the value of the shares at the time of their debut in the stock market. Investors have been concerned over the selling of shares by employees since Facebook went public on May 18. Employees, officers and early investors are generally restricted with a lock-in period to avoid overselling and putting pressure on share prices.

Investors and the company are concerned due to the impact of earlier lock-in periods on the share prices. When the first lock-in period concluded, the shares of the company had fallen 6 per cent to $19.87 and when the when the second lock-in period finished, the shares fell by 3 per cent.