Facebook said to stick with Nasdaq listing

FACEBOOK executives have reportedly binned any ideas of switching the stock’s listing to the NYSE after Nasdaq glitches botched the social networking giant’s IPO.

Facebook, which was hit by a flurry of lawsuits and complaints from investors claiming they lost millions of dollars when the long-awaited shares hit the market on 18 May, is understood to have pointed the finger at Nasdaq.

The tech-favourite bourse last month apologised for its role in the trading glitches, offering $40m worth of compensation to disgruntled investors. Nasdaq chief executive Robert Greifeld admitted it was “not our finest hour”.

Facebook shares closed yesterday at $30.77 – a drop of 19 per cent on the $38 float price – after sinking as low as $25.52 last month.

While its $16bn IPO made this year’s second quarter the strongest period on record by dollars raised, the number of flotations was severely affected by Facebook’s disappointing debut.

The number of deals halved to 11 in the quarter, compared to the same period last year, according to data from NVCA and Thomson Reuters.