By Basil Katz and Edwin Chan | Reuters –
NEW YORK/SAN FRANCISCO (Reuters) – Facebook Inc, facing a raft of lawsuits from investors seeking to recoup losses from its botched IPO, laid out on Friday how cascading Nasdaq trading glitches might have stoked the confusion that marred its May 18 debut.
The No. 1 social network and lead underwriters Morgan Stanley, Goldman Sachs Group Inc and JPMorgan Chase & Co have filed a motion requesting that dozens of shareholder lawsuits over its $16 billion (10.18 billion pounds) initial public offering be grouped together in Manhattan federal court.
The filing, while standard in cases with multiple lawsuits, gives a glimpse at how Facebook may choose to structure its defence and represents the social networking company’s first public response to the chaos that engulfed its high-profile debut.