UBS may sue Nasdaq over $350 mn Facebook IPO losses: Report
New York: Swiss bank UBS faced losses to the tune of USD 350 million because of the software glitch during the Facebook IPO at Nasdaq, and is now a preparing legal action against the exchange, a media report has said.
"UBS is sitting on losses that could be as high as USD 350 million stemming from its investment in the Facebook initial public offering, and is preparing legal action against Nasdaq as a result," media reports citing sources.
The report noted that the loss incurred by UBS is ten times more than the USD 30 million that is currently being speculated in the market by others.
Citing sources, media reports said UBS wanted 1 million shares, but when it did not receive confirmations, it repeated the order multiple times and was left with much more than it intended.
"We are continuing to consider avenues to recover our losses in this matter, but have not yet taken legal action," the bank said
On Wednesday, Nasdaq had offered compensation to the tune of USD 40 million to clients who were disadvantaged by the technical problems during Facebook IPO.