Remember the long months of “run-up” to the Facebook initial public offering? Some supposed “experts” were touting it as the next great success story – even suggesting that it would become as successful as Apple or Google. Of course, media “buzz” was in high gear because Facebook is a name known around the world by a reported user base of one billion, plus countless millions of non-users who repeatedly hear about and read about Facebook each week. In the weeks leading up to the official IPO issuance date (May 18), the underwriters continued to “talk up” the stock, as well as increase the issue price (to $38) and number of shares to be issued. In addition, the NASDAQ exchange, that had persuaded CEO Mark Zuckerberg to list through them rather than the NYSE, was counting on the high profile IPO to embellish its image and accelerate NASDAQ's
Submitted by: Tom Petty
http://www.examiner.com/article/facebook-has-it-lost-face
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