Deals
Nasdaq CEO Blames Software for Delayed Facebook IPO Trading
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Nasdaq OMX Group Inc., under scrutiny after shares of Facebook Inc. were hit by delays and mishandled orders on its first day, blamed “poor design” in the software it uses for driving auctions in initial public offerings.
Computer systems used to establish the opening price were overwhelmed by order cancellations and updates during the “biggest IPO cross in the history of mankind,” Nasdaq Chief Executive Officer Robert Greifeld, 54, said yesterday in a conference call with reporters. Nasdaq’s systems fell into a “loop” that kept the second-largest U.S. stock venue operator from opening the shares on time following the $16 billion deal.