Facebook Inc Hit With Fresh IPO-Related Lawsuit-Reuters

Monday, 4 Mar 2013 10:21pm EST 

Reuters reported that A Facebook Inc shareholder has sued the social networking company's Chief Executive Mark Zuckerberg and others over its troubled IPO, potentially reviving legal claims that a different court dismissed in February 2013. The lawsuit by Gaye Jones alleges that the Company's directors and officers knew that Facebook did not disclose weaker revenue trends as more users accessed the website through mobile devices. The complaint alleges that information had been selectively shared with the Company's IPO underwriters and key investors. The lawsuit seeks to force the directors and other defendants to disgorge the money they made from selling stock through the IPO which they allegedly knew was overpriced. 

Company Quote

0.15 +0.20%
21 Nov 2014