Twitter Plans to Go Public

The social-media giant, Twitter, released its IPO filing to the public, as it plans to begin trading publicly under the ticker TWTR.

 

Source: https://www.twitter.com

The IPO revealed information about Twitter’s 2012 financial statements, with numbers including a 198 percent increase in revenue to about $317 million, and a net loss decrease of 38 percent to $79 million. Investors now begin their analysis as to whether they should purchase Twitter shares, although pricing nor number of shares has been released. The public offering forces the company to begin releasing its financial information, which includes Income Statements and Balance Sheets. With this IPO, Twitter now has the opportunity to expand and grow if investors deem it to be worthy of obtaining shares. Twitter will also be able to offer employee stock ownership to attract talent and increase productivity. The company will also be subject to a lot more scrutiny from the public and from the Securities and Exchange Commission to avoid fraudulent behaviour. Also, previous stakeholders can now turn their equity into liquid stock or cash and become very wealthy. The IPO opens many financial doors, and puts Twitter in a position to expand and grow.

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