U.S. District Judge Robert Sweet in Manhattan named the lead plaintiffs Thursday in securities lawsuits against Facebook and against Nasdaq parent Nasdaq OMX Group related to the social network’s bungled May 18 initial public offering.
Reuters reported that the plaintiff group picked to lead 31 cases alleging securities violations against Facebook is made up of North Carolina Retirement Systems, Arkansas Teacher Retirement System, Fresno County Employees’ Retirement Association, and Banyan Capital Master Fund, which claimed a total of $7.1 million in losses related to the IPO, accusing Facebook of misrepresenting its financial condition prior to going public.
Sweet said of the group, as reported by Reuters:
Its members are large, institutional investors with experience representing shareholder classes in similar litigation, with the resources to pursue the action.
First New York Securities, T3 Trading Group, and Avatar Securities will act as co-lead plaintiffs against Nasdaq OMX Group, according to Reuters, which added that those firms traded a combined $316 million in Facebook shares May 18.
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