Saverin at the CHINICT conference
on May 25, 2012
|Born||Eduardo Luiz Saverin
19 March 1982
São Paulo, Brazil
|Residence||#42-02 Republic Plaza, Singapore|
|Alma mater||Harvard University (B.A., Economics, 2006)|
|Known for||Co-founder of Facebook|
|Net worth||US $7.2 billion (22 November 2015)|
Eduardo Luiz Saverin (Portuguese pronunciation: [eduˈaɾdu luˈis ˈsaveɾĩ]) (born 19 March 1982) is a Brazilian Internet entrepreneur, economist and angel investor. Saverin is one of the co-founders of Facebook. As of 2015[update], he owns 53 million Facebook shares (approximately 0.4% of all outstanding shares) and has a net worth of $7.2 billion, according to Forbes. He has also invested in early-stage startups such as Qwiki and Jumio.
In what was seen as a move to avoid US taxes, Saverin renounced his American citizenship in September 2011. According to Saverin, he renounced his citizenship because of his "interest in working and living in Singapore" where he has been since 2009. He avoided an estimated $700 million in capital gains taxes; this generated some media attention and controversy.
Family and early life
Eduardo Saverin was born in the city of São Paulo, Brazil, to a wealthy Jewish Brazilian family, and his family later moved to Rio de Janeiro. Saverin's father, Roberto Saverin, was an industrialist working in clothing, shipping, and real estate. His mother, Paula, was a psychologist and he has two siblings. His Romanian-born grandfather, Eugenio Saverin (born Eugen Saverin), is the founder of Tip Top, a chain of kidswear retail shops. In 1993, the family emigrated to the US, settling in Miami, Florida.
Saverin attended Gulliver Preparatory School in Miami, and went on to Harvard University, where he was a resident of Eliot House (Harvard College) and a member of the Phoenix S.K. Club as well as president of the Harvard Investment Association. While an undergraduate at Harvard, Saverin took advantage of Brazil's lax insider trading regulations and made $300,000 via strategic investments in the oil industry. In 2006, Saverin graduated magna cum laude from Harvard University with a bachelor's degree in economics. He is a member of the Alpha Epsilon Pi fraternity (Eta Psi chapter of Harvard University).
During his junior year at Harvard, Saverin met fellow Harvard undergraduate, sophomore Mark Zuckerberg. Noting the lack of a dedicated social networking website for Harvard students, the two worked together to launch The Facebook in 2004. As co-founder, Saverin held the role of chief financial officer and business manager.
A lawsuit filed by Facebook against Saverin and a countersuit filed by Saverin against Facebook[clarification needed] were settled out of court. Terms of the settlement were not disclosed and the company affirmed Saverin's title as co-founder of Facebook. Saverin signed a non-disclosure contract after the settlement.
In 2016, Saverin's fund closed initial deals of over $140 million in Asia.
Depictions in media
The 2010 film The Social Network depicts the relationship between Saverin and Zuckerberg from their creation of Facebook to Saverin's legal action against Zuckerberg. Actor Andrew Garfield's portrayal of Saverin was met with critical acclaim, receiving nominations such as the Golden Globe Award for Best Supporting Actor - Motion Picture and BAFTA Award for Best Actor in a Supporting Role.
Saverin met Elaine Andriejanssen, a Chinese Indonesian woman who was educated at Raffles Girls' School and comes from a family which runs several businesses in Massachusetts. On March 27, 2014, they became engaged and were married on June 25, 2015, in the French Riviera.
Renunciation of US citizenship
Saverin has lived in Singapore since 2009. According to Saverin, in September 2011 he renounced his U.S. citizenship because of his "interest in working and living in Singapore"; he also reduced the capital gains taxes he would have paid after the Facebook IPO. The Wall Street Journal estimated the tax savings at over $700 million.
After renouncing his US citizenship, Saverin had to pay an expatriation tax equivalent to the 15% capital gains tax at the marked-to-market value of his stock holdings at the time of ~$50/share × 53 million shares.
In response, Senator Chuck Schumer introduced the Ex-PATRIOT Act, which would have imposed additional taxes on former US citizens, but the bill died in committee. Since 1996, the Reed Amendment makes former citizens inadmissible to the United States if the Attorney General determines that they gave up citizenship to avoid taxation. However, it is difficult to enforce in practice. Reed Amendment author Jack Reed wrote to Secretary of Homeland Security Janet Napolitano to urge that Saverin be barred from entering the United States, but as of 2015, he has not applied for a visa to reenter the U.S.
- Eduardo Saverin (17 May 2012). "UNITED STATES SECURITIES AND EXCHANGE COMMISSION INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES - Eduardo Saverin". U.S. Securities and Exchange Commission.
- Kucera, Danielle; Harper, Christine; Drucker, Jesse (12 May 2015). "Facebook Co-Founder May Gain Choosing Singapore Over U.S.". Bloomberg. Retrieved 14 May 2015.
Saverin still does hold Brazilian citizenship, Goodman said.
- "Saverin 'has no plans to become S'pore citizen'" (PDF). Today. 2012-05-17. Archived from the original (PDF) on May 26, 2013. Retrieved 2012-05-17.
- "Eduardo Saverin Net Worth". Forbes.
- Internal Revenue Service (2012). "Quarterly Publication of Individuals, Who Have Chosen to Expatriate, as Required by Section 6039G". Federal Register.
- Feeney, Kevin J. (25 February 2005). "Business, Casual". The Harvard Crimson. Retrieved 11 May 2011.
- "America's Youngest Billionaires". Forbes. October 6, 2010.
- Kucera, Danielle; Vallikappen, Sanat; Harper, Christine (2012-05-11). "Facebook Co-Founder Saverin Gives Up U.S. Citizenship Before IPO". Bloomberg L.P. Retrieved 2012-05-11.
- Mezrich, Ben. The Accidental Billionaires. Doubleday. ISBN 978-0-385-52937-2.
- Bosker, Bianca, "Facebook Co-Founder Eduardo Saverin Invests In Qwiki"
- Wauters, Robin, "Exclusive: Facebook Co-Founder Eduardo Saverin Leads $6.5M Round For Jumio", TechCrunch, Thursday, March 17, 2011
- Mathews, Merrill (23 May 2012). "In Praise Of Eduardo Saverin's Tax Avoidance". Forbes. Retrieved 9 February 2016.
- "So How Much Did He Really Save?". Wall Street Journal. 18 May 2012. Retrieved 9 February 2016.
- David Benoit (17 May 2012). "Facebook Co-Founder Saverin Fires Back At ‘Misinformation’".
- McCormick, Jason (11 July 2012). "5 citizens who left the United States to avoid paying tax". CBS News. Retrieved 17 June 2014.
- Worstall, Tim (May 12, 2012). "IPO Will Increase, Not Reduce, His Tax Bill". Forbes. Retrieved May 12, 2012.
- The Social Network: How Jewish is Facebook?, The Jewish Chronicle, Jennifer Lipman, October 14, 2010
- Amormim, Lucas (2009). "Zuckerberg: jovem, bilionário e... trapaceiro?" [Zuckerberg: young billionaire ... cheater?]. Exame (in Portuguese). Editora Abril. Retrieved 23 May 2016.
- Tagiaroli, Guilherme; Ikeda, Ana (October 22, 2010). "Conheça Eduardo Saverin, o brasileiro que ajudou a fundar o Facebook" [Meet Eduardo Saverin, the Brazilian who helped found Facebook]. UOL (in Portuguese). Retrieved May 12, 2012.
- Antunes, Anderson (27 May 2012). "Eduardo Saverin Finally Opens Up: 'No Hard Feelings Between Me And Mark Zuckerberg". Forbes. Retrieved 26 May 2016.
- "Eduardo Saverin, o brasileiro do Facebook, conta sua história" [Eduardo Saverin, the Brazilian of Facebook, tells his story]. Veja (in Portuguese). Grupo Abril. 26 May 2012. Retrieved 23 May 2016.
- The Truth Behind Facebook's Founding is Finally Revealed
- "A Facebook Tale: Founder Unfriends Pals on Way Up", NPR
- "Facebook Founders Bios". Facebook.
- Carlson, Nicholas (15 May 2012). "EXCLUSIVE: Here's The Email Zuckerberg Sent To Cut His Cofounder Out Of Facebook". Business Insider. Business Insider Inc. Retrieved 9 February 2016.
- Carvalho dos Santos, Alexandre; Marcelo Rainho (October 2009). "A misteriosa história do brasileiro que fundou o Facebook" ["The mysterious story of the Brazilian who founded Facebook."]. Superinteressante (in Portuguese) (São Paulo: Editora Abril) (270): 94–97. ISSN 0104-1789. OCLC 60743498.
- Russell, Jon (19 May 2016). "Facebook co-founder Eduardo Saverin’s new fund closes initial $140M for deals in Asia". TechCrunch. Retrieved 23 May 2016.
- "Eduardo Saverin - CrunchBase". CrunchBase. Retrieved 26 May 2016.
- Singh, Anita (2011-01-18). "Andrew Garfield: Famous? I just don't have the time ...". The Telegraph. Retrieved 2012-05-12.
- Chia, Stacey (20 June 2015). "Eduardo Saverin's fiancee studied at Raffles Girls' School, Indonesian family runs several businesses". AsiaOne. Singapore Press Holdings Ltd. Retrieved 30 July 2015.
- Iyengar, Rishi (26 July 2015). "Facebook Co-Founder Eduardo Saverin Confirms News of Wedding in Facebook Post". TIME. Time Inc. Retrieved 9 February 2016.
- Karmali, Naazneen (25 June 2015). "Secret Wedding Celebration Of Facebook Co-Founder Eduardo Saverin Kicks Off". Forbes. Retrieved 30 July 2015.
- Spargo, Chris (17 June 2015). "Facebook billionaire DENIES reports he's marrying former Miss Singapore in South of France blowout ceremony - and claims he's never even dated her". Associated Newspapers Ltd. Retrieved 30 July 2015.
- Miguel Helft (January 20, 2011). "Facebook Co-Founder Backs Start-Up". New York Times. Retrieved August 10, 2011.
- Lacy, Sarah, "Where in the World Is Eduardo Saverin? In Singapore Funding Facebook Games", TechCrunch, Thursday, October 28, 2010
- "So How Much Did He Really Save?". Wall Street Journal. 2012-05-18.
based on financial filings, experts say, it was likely tens of millions in income tax and far more in estate tax—at least $700 million at current values and tax rates.
- Miller, Sunlen (2012-05-17). "Senators to Unveil the 'Ex-Patriot Act' to Respond to Facebook's Saverin's Tax 'Scheme'". ABC News. Retrieved 2012-05-18.
- With the Facebook IPO, missing Eduardo Saverin, Washington Post, May 18, 2012
- "Bill Summary & Status, 112th Congress (2011 - 2012): S.3205". THOMAS. 2012-05-18. Retrieved 2012-05-21.
- Bruce, Charles M.; Saret, Lewis; Lagonico, Stéphane; Trow, Steve (2006-03-13). "The Exit Tax — A Perfectly Bad Idea" (PDF). Tax Notes International 41 (10). Retrieved 2012-05-18.
- Saverin, Eduardo, "Facebook Co-Founder Speaks Publicly: What I Learned From Watching 'The Social Network'", CNBC, Friday, 15 Oct 2010.
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