Morgan Stanley Shares Shot Up After The Facebook IPO News

Morgan Stanley

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Following the news that Morgan Stanley will be the lead underwriter on the Facebook IPO, the bank’s stock, which had been trading relatively flat all day, enjoyed a slight surge.¬†Trading volume for shares of MS shot up after the announcement, and the stock closed up around 2.26% at $18.56 per share, it had opened today at $17.95.

The honour of receiving the coveted “lead left” spot in arguably one of the hottest IPOs in years not only comes with bragging rights, but also an estimated some $220 million worth of fees, according to the WSJ. To put that $220 million in perspective, the Morgan Stanley tech group brought in $115 million in underwriting fees for all over 2011, the WSJ reported.

Emily Chang at Bloomberg TV also brings up a good point: Goldman Sachs closed up 3% despite WSJ reporting that the bank would only have a small role in the IPO. 

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