May 23, 2012, 10:06 AM —
Unnamed hedge fund manager claims his $100 million Facebook position was mishandled and the price should have jumped to $60 or $70.
Of course, since there's no name, no verification, and no confirming source, this could be a disgruntled investor priming the lawsuit pump against Facebook, NASDAQ, or both. But the accusation that technology failed the largest tech IPO in history (and the third largest ever) could shake the ground in many areas.
Allegations are that NASDAQ knew it couldn't handle the IPO and went ahead anyway. Traders couldn't get confirmation of prices for buy and sell orders, potentially losing millions. A form NASDAQ released on Monday had the affect of encouraging traders to dump tens of millions of shares. The self-proclaimed "blue collar Wall Street guy" didn't say how much he lost of his $100 million, or how much he gained.
Bad from the start
This stock is severly overpriced and deserves to trade south of 10.00. Those who bought at the IPO of 38.00 made poor investment decisions.
radicallycdn on yahoo.com
What this meant for me and most everyone else was that I was locked out of the market for the first 2 hours after IPO and my assets were frozen. I could neither buy nor sell.
dangero on news.ycombinator.com
This is going to fall SQUARELY on two shoulders - the lead underwriter, and NASDAQ.
Sorry But... on businessinsider.com
I love this story on so many levels. Firstly there is the irony of a "blue collar hedge fund manager" There's the fact the lack of an IPO bump means Facebook equity holders are the people who made money out of it, instead of the investment banks buying at the opening and hoping to sell at the bump price.
nl on news.ycombinator.com
New name for sucker
LOL WHAT A ZUCKER!!