updated 07:06 am EST, Thu November 7, 2013
Share price change expected to net the company $1.8B
Twitter has updated the set price per share for its Initial Public Offering (IPO) to $26 each, potentially valuing the company at $18 billion. The offering of 70 million shares is up from the previous expected range of $17 to $20 per share, and in the process earns the company $1.82 billion, along with increasing the overall valuation of the company even higher.
The valuation of the company is now $14.16 billion from 545 million non-diluted shares, according to TechCrunch, or alternatively a maximum of $18.1 billion from 705 million fully diluted shares. Twitter will be listed on the New York Stock Exchange later today under the symbol "TWTR," though where the price will travel to afterward is still unknown. Many will likely compare Twitter's IPO with Facebook's chaotic version, which later saw the company and its backers sued over how it was handled.
The results of the IPO could also be affected by a filing by Twitter with the SEC earlier this week. IBM has threatened the microblogging service with a patent infringement lawsuit, claiming that three patents have been violated. Twitter believes it has "meritorious defenses to IBM's allegations."