SEC Approves Nasdaq's $62 Million Facebook IPO Reimbursement Plan

The Securities and Exchange Commission has given Nasdaq OMX Group approval to repay investment firms a total of $62 million for technical problems associated with the Facebook initial public offering this past May.

Facebook was one of the most anticipated IPOs of 2012, but computer problems led to delayed trades and insufficient trading information that  caused some investment firms to lose millions of dollars.

The SEC will allow Nasdaq to pay $62 million in repayments in light of the computer problems that investors faced while trying to buy and sell Facebook stock the day of its IPO. Nasdaq said in June that it would pay $40 million, but increased that amount to $62 million.


The Associated Press contributed to this report.

The article SEC Approves Nasdaq's $62 Million Facebook IPO Reimbursement Plan originally appeared on Fool.com.

Fool contributor Chris Neiger has no position in any stocks mentioned. The Motley Fool recommends Facebook. The Motley Fool owns shares of Facebook. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Learn about investing from the comfort of your own home.

Portfolio Basics

Take the first steps to building your portfolio.

View Course »

Investment Strategies

Learn the strategies you need to build a winning portfolio

View Course »

Add a Comment

*0 / 3000 Character Maximum