One of the most anticipated IPOs of the year, Twitter has announced that it intends to sell 70 million shares at a price between $17 and $20 — £10-£12 — in a listing that it hopes will raise up to $1.4bn, the equivalent of around £865m.
It will list on the New York Stock Exchange using the ticker ‘TWTR’, and will become the second biggest internet company to go public, with Facebook holding that accolade currently.
The pricing is less than analysts had previously forecast, valuing Twitter at around $13.9bn instead of the $15bn anticipated figure, which suggests that management are cautious following the less-than-auspicious launch of Facebook, where shares slumped soon after launch.
Twitter is currently aiming for a launch date of 6 November, and executives are going on a ‘road show’ to try and bring on board potential investors from Monday, during which time management believes the valuation will rise from current levels.
