Twitter is looking to raise up to $1.5 billion in cash through debt markets for the first time, reports Bloomberg.
In a regulatory filing submitted yesterday, Twitter has revealed that it will sell $650 of convertible U.S. bonds in two tranches – one maturing in five years, and a second that will mature in seven years.
The offering could increase to $1.5 billion overall if the banks involved exercise an overallotment option which allows underwriters to issue more bonds than originally planned – in this case, two additional $100m pieces.
The company is expected to invest the capital in acquisitions and expansion. Twitter has an existing $1 billion of revolving credit which it implemented ahead of its IPO last year.