Investment banking giant Goldman Sachs has announced that it will be restricting the trade of private Facebook shares to non-US investors only.
The bank said that it was forced to take the decision after the intense media coverage the sale of private shares of Facebook was getting in the country. Goldman believes that continued coverage would attract negative attention from US regulators.
Goldman Sachs said in a statement to Reuters: “In light of this intense media coverage, Goldman Sachs has decided to proceed only with the offer to investors outside the US. We regret the consequences of this decision, but Goldman Sachs believes this is the most prudent path to take.”
The bank clarified that the decision to disallow US investors from purchasing privately traded Facebook shares is solely its own and it was that it is not under pressure from any third party or regulatory authority, like the US Securities and Exchange Commission, to do so.