~ What does the Facebook debacle bode for future IPOs, especially with the impending rules changes?
Facebook went public at a valuation of $104B. In the two weeks since, the stock has swooned to below $30 a share, and the valuation has shriveled to $80B. (OK, maybe shriveled is the wrong word; it's still $80 billion after all.) But this isn't supposed to happen with IPOs; the stock is supposed to go up and make everyone rich!
So, bring on the lawsuits. There are several reasons given for initiating these lawsuits, but there would not be any at all if the stock price hadn't tanked. There would be no complaints if no one had lost money. But they have lost, and on what was thought to be the very hottest deal to come along since Google.