Facebook Might Switch to NYSE after Nasdaq FailureBy: Mike Fossum - May 24, 2012
Facebook stock closed at $31.99 per share yesterday, and some speculate that there truly is no limit on how low it can go. One of several factors that might’ve contributed to the sensational IPO’s less than stellar performance was an alleged technical problem at NASDAQ early on, which has prompted some investors to sue, and likewise drew the attention of the SEC and FINRA.
Now Facebook might consider listing with the New York Stock Exchange, in the wake of its embattled IPO, according to two sources familiar with the matter. These sources told CNBC that NYSE officials have been reaching out to Facebook concerning a possible switch. Though, NYSE states that no discussions have occurred, and that these dealings wouldn’t “be appropriate at this time” regardless. The anonymous sources added that Facebook is open to talks.
Nasdaq’s technical glitches have so far been one of the larger excuses for the problems experienced during initial FB trading, to where investors lost money because their buy, sell or cancellation orders weren’t going through. Nasdaq officials maintain that all order confirmations were filed at 1:50pm ET on the day of the IPO, though as of Tuesday, many investors still hadn’t received any order confirmations, which prompted all sorts of intrigue.
If Facebook were to decide to switch, David Wield, a former Nasdaq vice chairman, states, “It’s not hard (to switch listings), – Both firms (NYSE and Nasdaq) handle this sort of things all the time.”