Shares in Facebook Inc(NASDAQ:FB) were up in early trades on Wednesday buoyed by the positive sentiments infused by the company on Tuesday when it announced a number of measures to stem the slides in its share price.
On Tuesday the social networking site a filing with the Securitas and Exchange Commission, that said, among other things that Founder and Chief Executive would not sell his shares for more than a year.
Can FB Bounce Back? Find Out Here
Here are the highlights of what was filed:
* Directors Marc Andreessen and Donald Graham will soon be selling some stock (enough to pay the taxes owed on their stock grants)
* CEO Mark Zuckerberg will not sell any more stock for at least a year (he sold $1.1 billion at $38 on the IPO)
* The company is accelerating the lock-up release for many employees to October 29. On October 29, 234 million employee-owned shares will become available for sale.
* The company will withhold 101 million shares of stock (for tax witholdings) out of a total of 234 million shares that are owed to employees on October 25. These withheld shares will no longer be considered "shares outstanding," so the company's fully diluted share count and free float will be slightly lower than previously expected.
* The company will pay the tax bill associated with the stock grants with its own cash or its cash from its credit lines.
* The company will not do another stock offering in the next few months to raise cash to pay this tax bill.
Facebook shares were up 3.5 percent at $18.35, just off its lows of $17.55 reached earlier this week.
The big daddy of software, Microsoft Corporation(NASDAQ:MSFT) shares were marginally up in early trades, just ahead of a crucial event with Nokia Corporation (ADR)(NYSE:NOK) where the European company will be unveiling its first Windows 8 phones.
Can NOK Rebound? Find Out Here
Microsoft shares were up 0.15 percent at $30.43. American depositary Receipts of Nokia Corp were however trading down more than 6 percent ahead of the event.
Marketmen said that the traders were bearish ahead of the launch if its smartphones. The company will be releasing two Lumia smartphones running on Windows 8 operating software.
The phones are expected to be on store shelves in November. Shares of NOK slumped 11% to $2.51.