Mark Cuban: I Took a Hit on Facebook Shares, Sold My Stake

Internet pioneer Mark Cuban doesn't like Facebook.

The tech mogul sold his 150,000-share stake in the company to curb his losses.

"I already sold it, I took my hit, my thesis was wrong," Cuban tells CNBC, adding his interest in Facebook was a trade and not a long-term investment. "I thought we would get a quick bounce just about the excitement about the stock. I was wrong, and when you are wrong you don't wait, you just get out. So I took a beating and left."

Editor's Note: How You Lost $85,000 During the Last Decade. See the Numbers.

Facebook went public in May priced initially at $38 a share. Today, the social network is trading at just over $31 a share.

The company's initial public offering was marred by technical glitches at the Nasdaq as well as on complaints the company was valued too high in that despite having 900 million users, Facebook will find it difficult monetizing that base.

Facebook issued 421 million shares, a move that Cuban said hurt the company's stock price.

"I mean if you look at other companies like LinkedIn, they issued 8.4 million shares and the stock skyrocketed. If Facebook would have come out with 8.4 million shares, instead of 421 million, the stock would be at about $200 right now. So it was just the circumstances that led to me getting in and out," Cuban says, CNBC adds.

Facebook is spending up to $60 million acquiring face-recognition technology firm Face.com, Reuters reports.

Terms of the deal weren't officially disclosed.

Face.com should help Facebook users tag photos of their friends with greater ease.

"People who use Facebook enjoy sharing photos and memories with their friends, and Face.com's technology has helped to provide the best photo experience," a Facebook spokesman tells the AFP newswire.

"This transaction simply brings a world-class team and a long-time technology vendor in house."

Editor's Note: How You Lost $85,000 During the Last Decade. See the Numbers.