Nasdaq stands firm on Facebook payback plan

By Reuters 11 September 2012

Nasdaq OMX Group Inc stands by its $62 million compensation plan for firms harmed in Facebook Inc's glitch-ridden market debut and is prepared to defend against any potential litigation related to it, Lee Shavel, the company's chief financial officer, said on Monday. By John McCrank.

The exchange operator has received mixed reviews of the plan, filed with regulators in late July, with retail market making firms Citadel Securities and Knight Capital Group voicing their support, while UBS AG and Citigroup strongly criticized the plan for not going far enough, and asked regulators reject it.

“Clearly there are differences of opinion, and some are more negative on the proposal,” Shavel said at the Barclays Global Financial Services Conference in New York.

“We continue to believe … that this addresses the issues that we identified in a very fair, reasonable, and objective manner.”

Shavel said Nasdaq has robust legal and factual defenses with regard to any litigation associated with the May 18 initial public offering.

Nasdaq expects a ruling on the plan by the U.S. Securities and Exchange Commission in the fourth quarter.

“We are certain that they are giving it all of their attention at this point,” Shavel said. DM

Photo by Reuters.


While we have your attention...

An increasingly rare commodity, quality independent journalism costs money - though not nearly as much as its absence.

Every article, every day, is our contribution to Defending Truth in South Africa. If you would like to join us on this mission, you could do much worse than support Daily Maverick's quest by becoming a Maverick Insider.

Click here to become a Maverick Insider and get a closer look at the Truth.

Election 2019

Maimane takes hardline on illegal immigration at DA’s 2019 campaign manifesto launch

By Ferial Haffajee

"Look for lessons about haunting when there are thousands of ghosts; when entire societies become haunted by terrible deeds that are systematically occurring and are simultaneously denied by every public organ of governance and communication." ~ Avery Gordon