Claims by four of Wall Street's main market makers against Nasdaq over Facebook's botched IPO are likely to exceed $100 million, Reuters reported. A technical glitch delayed Facebook's market debut by 30 minutes on Friday and many client orders were delayed, causing some investors and traders significant losses as stock prices dropped.
Four of the top Facebook IPO market makers-- Knight Capital, Citadel Securities, UBS AG and Citi's Automated Trading Desk -- have altogether probably lost more than $100 million, said a senior executive at one of the firms. Nasdaq is facing lawsuits from investors and legal threats from brokers. Some U.S. regulators are now looking into how the Facebook IPO was handled.