Feeds

Facebook underwriters accused of hiding forecast

Revenue numbers revised on the quiet, says Reuters

Beginner's guide to SSL certificates

Reuters is airing accusations which, if true, would cast the Facebook IPO process in a very poor light indeed. The news service claims that underwriters Morgan Stanley cut its revenue forecasts for The Social NetworkTM but withheld the information from all but a privileged few.

The allegations are detailed in this Reuters analysis, which says the reduced forecasts were circulated to some investors during the IPO “roadshow” that pump-primed Facebook’s stock ahead of the float.

Reuters says it has not been able to confirm with Morgan Stanley how widely its revised forecast was disseminated pre-IPO. The bank’s only response has been a statement that its revisions were in response to a revised prospectus that Facebook filed with the Securities and Exchange Commission on May 9, and that as far as it’s concerned, its procedures comply with regulations.

That regulatory compliance will, however, be cold comfort to retail suckers investors, who have taken a haircut since the IPO. At the time of writing, Facebook shares were trading at $US31 – having been launched at $US38. ®

Top 5 reasons to deploy VMware with Tegile

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Internet Security Threat Report 2014
An overview and analysis of the year in global threat activity: identify, analyze, and provide commentary on emerging trends in the dynamic threat landscape.
Top 5 reasons to deploy VMware with Tegile
Data demand and the rise of virtualization is challenging IT teams to deliver storage performance, scalability and capacity that can keep up, while maximizing efficiency.