On today’s episode of The Report with Dan Patterson and Gina Smith, the topic is Facebook (Nasdaq: FB). It’s all anyone can talk about in Silicon Valley and Wall Street: how and whether Nasdaq botched the initial hours of trading, whether its opening share price of $38 was ridiculously high at 40X revenue and, now, about the lawsuits besieging it.
State and federal filed lawsuits allege Facebook, its board and its lead underwriters misled investors on Facebook’s May 18 IPO. More specifically, they allege Facebook violated securities laws when it told some institutional investors during its mid-May roadshow that revenues wouldn’t be as high as previously stated in its S2 and other documents. What does it all mean? Check out today’s episode of The Report with Gina Smith and Dan Patterson.