Tag Archives: IPO

Short Message Service: Twitter wants to take one billion U.S. dollars with IPO

It could be the most spectacular IPO of an Internet company since Facebook. Twitter to make the step onto the dance floor more than a billion dollars. Moreover, the company published its first financial results.

New York – A billion dollars does the short message service Twitter in its planned IPO taking. It said the company in a notification to the supervisory authority SEC . It would thus be the most prominent IPO of an Internet company since the IPO of Facebook in the past year . Twitter wants to list its shares under the symbol tWTR.

At the same time the eight-year-old company gave insight into its financial results. The turnover margin in the first half of 2013 at $ 253.6 million. The bottom line loss of $ 69.3 million fell to. What targeting investors, is the long reach: According prospectus Twitter has more than 215 million active users per month, 100 million used the service even daily, “and the approximate span the globe.” They all wrote about 500 million tweets per day.

An exact date for the IPO does not include the submission to the SEC. Is expected of November. First, Twitter has to convince investors on a so-called road show to invest in the company. The short message service was next to the Wall Street houses Goldman Sachs and Morgan Stanley,among others, the German bank committed to helping the step onto the dance floor.

Investors will now look at the figures exactly: While Twitter in 2010 had only 28 million in revenue in 2011 there were already 106 million and then 317 million last year. And Twitter continues to grow: in the first half of this year, the company has already made $ 254 million in sales.

However loses Twitter – unsurprisingly for experts – so far money. Alone in the first half of the loss was $ 69 million and the bottom line was almost one and a half times as high as in the previous year. Total collected in the years a decline of over 400 million dollars.

Main source of income of the company is advertising, interspersed in the news stream. Almost two-thirds of the ad revenue coming from mobile devices. However, is offset by high spending on data centers, new products and marketing.

The IPO is expected to create at least one new billionaire: co-founder Evan Williams is the largest shareholder with 12.0 percent. His partner Jack Dorsey, who is the last of the founding trio still active on Twitter, comes to 4.9 percent. The current chief Dick Costolo holds 1.6 percent of the shares.