Today, Bloomberg’s Sarah Frier and Serena Saitto report that Twitter’s highly anticipated initial public offering is oversubscribed, indicating booming interest for its shares as the firm looks to become a public company. Notably, Twitter had priced the shares well below expectations, all but guaranteeing an oversubscribed IPO.
The report says that the IPO had enough interest to be oversubscribed before bank involvement.
When Twitter filed its documents to go public, it was criticized by some for its extensive, and widening losses. And currently, all signs are pointing to Twitter’s revenue in calendar 2013 has expanded quickly as well. The company will raise around $1 billion in the IPO, valuing the firm at around $11 billion. Twitter plans to offer 70 million shares at $17-$20 per share. Early indications are that Twitter would price on November 6th and begin trading the day after.
At this point, Twitter now has options available to it including floating more shares or hitting above the higher end of the range when it prices next week. Losses aside, Twitter will be the hottest IPO of the year. Strap in.