Michael Grimes News
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Massachusetts Secretary of the Commonwealth William Galvin this week accused Morgan Stanley of breaking the law as lead underwriter in Facebook Inc.’s initial public offering, triggering a $5 million fine.
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Facebook Inc., the world’s largest social-networking company, could be exposed to legal challenges surrounding its initial public offering similar to those faced by Morgan Stanley, according to legal experts.
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Google Inc. is poised to make voluntary concessions that will end a 20-month U.S. antitrust probe of its business practices without any enforcement action, two people familiar with the matter said.
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Morgan Stanley’s handling of Facebook Inc.’s initial public offering, a deal that cost investors billions of dollars, broke a decade-old pledge to block investment bankers from influencing analysts, according to Massachusetts regulators, who fined the bank $5 million.
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When investment bankers fled Silicon Valley after the dot-com bust in 2000, Morgan Stanley’s Michael Grimes and his team stayed put on Menlo Park’s Sand Hill Road.
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When Facebook Inc. filed its proposal Feb. 1 to go public, it touted the effectiveness of ads linked to customers’ friends, citing research from Nielsen, the audience-counting company.
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Morgan Stanley may cement its status as the top underwriter for U.S. initial public offerings for a third year running with its lead role on Facebook Inc.’s planned $5 billion sale.
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Facebook Inc.’s initial public offering is getting less friendly with each passing day.
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Facebook Inc. bankers led by Morgan Stanley will split about $176 million for managing the social- networking company’s initial public offering after accepting a lower-than-average fee for their work.
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As Facebook Inc. and Morgan Stanley executives gathered on a call May 17 to arrange terms for the social-networking company’s initial public offering, they faced a trade-off: set the IPO price low and give up enough money to let investors profit from a day-one pop -- or push the price high to help the company reap as much as possible from the sale.
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