Would you buy shares in Twitter?
Well, pretty soon you’re going to have the opportunity, as the company has submitted a form to the Securities and Exchange Commission (SEC) for a planned Initial Public Offering (IPO).
And while, as Twitter says, this announcement “does not constitute an offer of any securities for sale”, at an undetermined point in the future – but likely fairly soon – that’s exactly what you’ll be able to do.
The news was announced an hour ago by Twitter on, where else, Twitter.
We’ve confidentially submitted an S-1 to the SEC for a planned IPO. This Tweet does not constitute an offer of any securities for sale.
— Twitter (@twitter) September 12, 2013
Companies that choose to file confidentially must meet specific criteria, one of which is annual revenue of less than $1 billion. Which, of course, is exactly where Twitter is circa 2013. Analysts had been expecting an IPO in Q1 of 2014, valuing the company as high as $15 billion, but recent secondary market transactions have suggested Twitter’s price is closer to $10 billion.
Time, as they say, will tell. Right now, we have no date for the IPO, but it’s definitely, positively going to happen.