The InfoStride Forum

TECHNOLOGY => Computing and Internet => Topic started by: ReadWrite on Oct 25, 2013, 11:31 PM

Title: Twitter's Conservative IPO Values The Company At Less Than $11 Billion
Post by: ReadWrite on Oct 25, 2013, 11:31 PM
  (http://readwrite.com/files/twitter-logo.png)  

Twitter seeks to raise $1.4 billion (http://www.bloomberg.com/news/2013-10-24/twitter-seeks-1-4-billion-in-ipo-wringing-revenue-from-tweets.html) by selling 70 million shares for between $17 and $20 per share when the company goes public next month, the company revealed today. At $20 per share, it would be worth just under $11 billion.

The lower than expected price range most likely reflects the company's desire to avoid a Facebook-like entrance into public trading. Facebook stock tanked shortly after its IPO (http://business.financialpost.com/2012/06/05/what-went-wrong-with-the-facebook-ipo/) and took more than a year to recover. Instead, Twitter is most likely hoping for a first day pop that will put it in good standing with investors.

Source: Twitter's Conservative IPO Values The Company At Less Than $11 Billion (http://readwrite.com/2013/10/24/twitter-ipo-value)