IPO: NOT LIKE
In May, social networking giant Facebook made its much-hyped initial public offering (IPO). It also replaced Indian IT major Infosys in the Nasdaq 100 index.
WHY WE CARE: Because the response to the IPO was dubbed a major flop. Facebook’s share price wiped more than $11 billion off the company’s market capitalisation.
BLOOMBERG SAID: “The IPO produced the worst five-day return among the largest US deals of the past decade.”