Snap Divulges Federal Probe Of IPO; Stock Drops In Pre-Market Trading

Read on: Deadline.

Snapchat parent Snap Inc. has revealed that regulators at the Department of Justice and the Securities and Exchange Commission are investigating whether it misled investors ahead of its 2017 IPO. The news sent the company’s battered shares, which have already fallen more than 50% in 2018 to date, down 6% in pre-market trading. Snap shares went public in March 2017, closing their first day at $24.48. They have never regained that level, entering today’s session at $6.71…