AAA Twitter to fly nest in $1bn IPO

Twitter to fly nest in $1bn IPO

Twitter, a US-based social networking service which describes itself as “a global platform for public self-expression and conversation in real time”, has registered its proposed initial public offering to raise $1bn, with a suggested valuation of $12.8bn.  The company has yet to choose on which exchange – Nasdaq or NYSE – to list its shares.  The offering is expected to take place on or around 15 November, according to latest reports.

Apart from named executive officers and directors, 5% stockholders are listed as Benchmark Capital Partners, and entities affiliated with Rizvi Traverse, Spark Capital, Union Square Ventures and DST Global.

Previously, in August 2011, Russian venture firm Digital Sky Technologies (DST) reportedly invested $400m in Twitter as part of an $800m funding round. DST is backed by Chinese internet firm Tencent and South African media company Naspers.

The offering is underwritten by Goldman Sachs, Morgan Stanley, JPMorgan Chase & Co., BofA Merrill Lynch, Deutsche Bank Securities, Allen & Company and CODE Advisors.

In the year ended December 31, 2012, Twitter had revenue of $316.9m and a net loss of $79.4m. For the six months ended June 30, 2013, Twitter had revenues of $253.6m and a net loss of $69.3m.

Twitter was incorporated in 2007.

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