Mark Cuban Pats Facebook CFO on the Back for Pricing Shares As High as Possible

Basically, greed is good, ya'll.

 Mark Cuban Pats Facebook CFO on the Back for Pricing Shares As High as Possible

“BLERG.” — Mark Cuban. (Photo:

This morning, Dealbook honcho Andrew Ross Sorkin made his case for the villain in the melodrama that is Facebook’s bungled IPO: CFO David Ebersman, who gave the $38 offering price the go-ahead. His excessive optimism–so goes the argument–flooded the market with overpriced shares, which have since lost half their value, and now there’s no upswing in sight, and that means Mr. Ebersman, at the very least, deserves a public calling-out.

Well, Mark Cuban thinks that’s bullshit.

In a new blog post titled “Facebook Handled Its IPO Exactly Right,” he calls Mr. Sorkin’s conclusion “180 degrees wrong” then goes on an absolute tear in defense of Facebook’s IPO pricing. Short version: It’s not David Ebersman’s job to make sure you don’t lose money betting on Facebook. 

Have you ever been to an auction where the selling party told a buyer to reduce their price because they were worried that the item might not hold its value? Neither have I.

Pretty sure that, if anything, an imminent collapse in value merely inspires the hard sell. But Mr. Cuban doesn’t stop there, proceeding with a subtle plug for his television show:

If the CFO of Facebook came on SharkTank and told me that he was able to sell his shares to the public for $38 a share, but turned down the opportunity, I would crush him for being an idiot.

Then, he goes for the caps lock:

Facebook was able to raise about 10 BILLION DOLLARS in this IPO. The CFO’s job is not to manage shareholder portfolios. His job is to help Facebook succeed. I don’t know about you, but putting 10 BILLION DOLLARS in the bank in my opinion is one way to help them succeed.

We’re certainly never buying a used car from Mr. Cuban after reading this.