Nasdaq may wish that its clients had a more conciliatory nature, but for better or worse, they are of a stripe that is highly unlikely to let bygones be bygones. In May, the American stock exchange that until recently was the most favored by tech companies of good repute did the unthinkable: it royally messed up the biggest and most eagerly anticipated IPO, Facebook’s.
The suited-up folks who had to ride the waters in the wake of Nasdaq’s baffling mistakes are now hankering to be recompensed for what they believe is their rightful due — and it turns out to they want an amount much larger than the $62 million in cash that Nasdaq is offering.
Nasdaq volunteered the stack of millions to settle the loses it was at fault for, but stipulates in its offer documents that that those taking it waive certain rights to sue for more damages later on. Nasdaq sent its settlement offer to the SEC in July seeking the regulatory agency’s approval.
The SEC has not reached a decision and at least two Nasdaq members, Citigroup and USB, the Swiss bank, have sent letters to the SEC voicing their indignation at what they’re calling a paltry offer, and urging SEC to reject Nasdaq’s proposed settlement.