Nasdaq CEO boasted of gaining top tech IPO, then lost it to NYSE

Wed Sep 9, 2015 8:55pm EDT
 
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By Lauren Hirsch

(Reuters) - Nasdaq Chief Executive Robert Greifeld said in July he was delighted to have snared one of the hottest technology IPOs of the year. There was just one problem - the deal was not in the bag.

That became very apparent on Wednesday when the business technology startup Pure Storage said in a filing with the Securities and Exchange Commission that it would instead be listing on Nasdaq's fierce rival, the New York Stock Exchange.

According to a source familiar with the matter, Greifeld angered Pure Storage's top executives when he prematurely announced that the company was going to list, and that the mandate had gone to Nasdaq. Greifeld made the announcement on Nasdaq's (NDAQ.O: Quote) second quarter earnings call.

Greifeld's remark - "And we're also very happy to win Pure Storage a week or so ago" - was made nearly a month before the company announced on Aug. 12 its intention to sell shares to the public.

Nasdaq declined to comment for this story.

It is not clear whether Pure Storage had signed any kind of agreement to list on Nasdaq, but the initial plan, before Greifeld spoke, was to go to Nasdaq, said the source, who declined to be identified.

Pure Storage and NYSE declined to comment.

Share listings are hotly contested by exchanges for the fees and revenue from trading they generate and for the marketing opportunities they provide.   Continued...

 
Nasdaq-OMX Stock Market, Inc. CEO Robert Greifeld speaks during an interview on Fox Business Network in New York March 4, 2015. REUTERS/Brendan McDermid