Nasdaq Allots $40M To Quell Investors' Facebook IPO Claims

Law360, New York (June 6, 2012, 8:43 PM EDT) -- The Nasdaq OMX Group Inc. will allot up to $40 million to resolve claims by investors over a technical glitch that had delayed Facebook Inc.’s May 18 initial public offering, the stock exchange operator said Wednesday.

The operator made the decision to allocate the funds based on its projection of $7 million in Facebook-related revenues over the next five years, and its error account of $10.7 million on the day of the IPO, according to a statement by Nasdaq.

The proposed plan will need approval by...
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