Twitter outperforms IPO expectations
It’s official Twitter finished it’s first day of trading at USD$44.90 per share. The first trade came in at $45.10 and reached USD$50.09 during the day closing at $44.90. It was a mighty day for the owners who raised $1.8 Billion via the sale of 70 million shares and then saw the shares soar through trading. As described on money.cnn.com
A ‘clean’ debut: Twitter’s early pop is similar to that ofLinkedIn (LNKD), which more than doubled in its first day on the stock market. But it was Facebook’s messy debut on the Nasdaq last year that had some individual investors worried ahead of Twitter’s IPO. Luckily for Twitter, its offering went smoothly.
Twitter co-founder Evan Williams is the company’s largest individual shareholder with a 12% stake, which is worth $2.6 billion at Thursday’s opening price of $45.10.
Peter Fenton, a Twitter board director and an early investor in the company, owns a stake worth $1.4 billion.
While Twitter is yet to turn a profit it has the advertising potential especially due to it’s high mobile users and that excited its investors.
Twitter launched in 2006 and it is the go to online microblogging site to share news, views in just 140 characters. It’s a favourite with celebrities, sports personalities, and is the go to place for the latest updates on current events. Twitter users generally report events before any other site.
As of September 2013, the company’s data showed that 200 million users send over 400 million tweets daily, with nearly 60% of tweets sent from mobile devices.
Well done Twitter!