Sorting Through The Facebook IPO-Related Rumors

There is no shortage of speculation and rumors about Facebook's upcoming initial public offering, some of it plausible, some of it not so much.

There’s no shortage of speculation and rumors about Facebook’s upcoming initial public offering, some of it plausible, some of it not so much.

First off, the Wednesday date that has been making the rounds from several sources does not mean that the actual IPO will occur Wednesday or Thursday.

If anything actually occurs this week, it will involve Facebook registering the offer and disclosing information that it was previously able to keep private.

The Wall Street Journal is also being more cautious with Facebook’s valuation, pegging it at $75 billion to $100 billion, while several other media outlets are running wild with the $100 billion figure. We saw that the company’s valuation on SharesPost closed at $79 billion, so that’s the number we need to stick with.

And then there’s the matter of which bank will be named lead underwriter, Morgan Stanley or Goldman Sachs. Reports have surfaced about Facebook having issues with each of them — with Morgan Stanley for leaking information, as reported by CNBC and expanded upon via Twitter by Fox Business’ Charles Gasparino; and with Goldman Sachs for its mishandling of a private placement last January.

The New York Post reported last week that Facebook reserved the ticker symbol “FB” on both the New York Stock Exchange and Nasdaq, but the company has not selected which stock exchange it will use, although reports later in the week appear to be trending toward Nasdaq.

And rounding up today’s edition of speculation gone wild, Silicon Alley Insider reported that “a source close to an employee at one of the banks underwriting the IPO” said the weekend of May 18 to 20 is being called a “be ready to work weekend,” allegedly for underwriting purposes, although the last time we checked, the stock markets were closed on weekends.