Twitter officially sets its IPO prices at $26 per share

Twitter logoOn Wednesday evening, Twitter announced that the 70 million shares that it set aside for its Initial Public Offering tomorrow would hit Wall Street at $26 per share. That sets the value of the company at $18 billion. The sale of the shares raised 1.8 billion for the social media company, which is considerably more than the $1 billion the company hoped to rake in. Twitter is also reserving 10,500,000 additional shares of common stock for its underwriters.

The price announced today is higher than analysts had expected as recently as Monday, when the rumor was that Twitter's stock price would fall between $23 and $25 per share (up from an originally projected $17 to $20 per share). For comparison, Facebook priced its IPO shares at $38 each. After a very rocky start, Facebook's stock has rebounded and is currently trading at $49 per share. Twitter, surely, is hoping to avoid the fall in stock price that Facebook experienced at its IPO despite Facebook's rebound.

According to Reuters, demand for Twitter's stock seems to currently outstrip supply, but some industry watchers like The Economist argue that the stock is overpriced given Twitter's equivocal responses “about how exactly its advertising machine will be able to generate the billions of dollars of future revenues to justify such a lofty multiple.”

Tomorrow, of course, we'll get a real picture of just how the market will treat Twitter. It will trade under the ticker symbol TWTR on the New York Stock Exchange.

Source: Ars Technica

Tags: Twitter

Comments
Add comment

Your name:
Sign in with:
or
Your comment:


Enter code:

E-mail (not required)
E-mail will not be disclosed to the third party


Last news

 
The NVIDIA GeForce GTX 1180 will be Turing-based with a 12nm FinFET die shrink
 
This only works on posts made by profiles that are public
 
 
The device will be standalone and based on a Qualcomm chipset
 
Apple plans on offering a cheaper smart speaker that will be priced at $199
 
Chrome will adopt a new approach to indicating site security
 
Data shows they are leading smartphone sale worldwide
 
Is this an error or it is really happening?
The Samsung Galaxy A5 (2017) Review
The evolution of the successful smartphone, now with a waterproof body and USB Type-C
February 7, 2017 /
Samsung Galaxy TabPro S - a tablet with the Windows-keyboard
The first Windows-tablet with the 12-inch display Super AMOLED
June 7, 2016 /
Keyboards for iOS
Ten iOS keyboards review
July 18, 2015 /
Samsung E1200 Mobile Phone Review
A cheap phone with a good screen
March 8, 2015 / 4
Creative Sound Blaster Z sound card review
Good sound for those who are not satisfied with the onboard solution
September 25, 2014 / 2
Samsung Galaxy Gear: Smartwatch at High Price
The first smartwatch from Samsung - almost a smartphone with a small body
December 19, 2013 /
 
 

News Archive

 
 
SuMoTuWeThFrSa
  12345
6789101112
13141516171819
20212223242526
2728293031  




Poll

Do you use microSD card with your phone?
or leave your own version in comments (10)