Dayton Business Journal...
Facebook plummet causes others to delay IPOs
Thursday, May 31, 2012 

Facebook Inc.’s much-maligned debut on the Nasdaq stock market as a public company has caused other businesses to delay their planned IPOs, according to the Silicon Valley/San Jose Business Journal. 

The paper reports that Facebook dropped below $28 per share, down about 27 percent from its May 18 IPO price of $38, before closing at $28.91. 

The company was valued at $104.1 billion when it went public in the biggest tech IPO in history, but its market cap has dropped to about $76 billion in what Dealogic has termed the worst post-IPO performance by any large company. 

That is a large fall for a new stock that had been compared to such tech giants as Google Inc.    and Apple Inc.    in terms of its potential for gains. Both of those companies have seen their shares surge by many multiples since going public in the past. It also comes after relatively disappointing IPOs by other social media firms Groupon and LinkedIn. 

At least two different lawsuits have made claims that Facebook made “false and misleading representations and omissions” during its IPO roadshow. 

Morgan Stanley    , Goldman Sachs Group and JPMorgan Chase & Co.    were among the underwriters included in the suits. 

Read this and other articles at the Dayton Business Journal