A federal judge in Manhattan tapped the law firm hired by the North Carolina pension system to be one of the lead counsels in the class action lawsuit stemming from Facebook?s $16 billion IPO, according to Reuters.
The ruling makes the North Carolina system one of the lead plaintiffs in the pending case, which will turn over the contention that Facebook misrepresented its financial condition in the run-up to the May 2012 stock offering.
According to the news agency, U.S. District Judge Robert Sweet tapped New York City-based Bernstein Litowitz Berger & Grossmann, hired by North Carolina, and Labaton Sucharow, hired by the Arkansas pension system, to proceed in the litigation.
A rival investor faction had argued that North Carolina?s designated firm shouldn?t be tapped because of the ?close personal ties? between state Treasurer Janet Cowell and North Carolina?s Erskine Bowles, a board member at both Facebook and Morgan Stanley, the lead underwriter on the IPO. That argument, apparently, failed to carry the day.
North Carolina pension officials had purchased up to $26 million worth of Facebook shares prior to the offering, and later claimed they lost $4 million or so when the IPO tanked.
Debuting at $38 per share, Facebook shares later fell by as much as 50 percent. They closed at $26.90 on Thursday.
Lee Weisbecker covers Finance, State Government.
Follow Your Favorites with My News
My News is a way to create a customized news feed based on companies and industries that matter to you.
Source: http://feedproxy.google.com/~r/vertical_18/~3/LOogWEaSmwQ/law-firm-picked-for-facebook-class.html
gli joseph gordon levitt katy perry russell brand mark hurd new ipad 3 jodie fisher zooey deschanel
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.