Twitter Files for IPO. Expected to go Public at More Than $15 Billion Valuation

In a recent tweet (how else?) Twitter made public its plans to go public:

The IPO will probably be lead by Goldman Sachs and as the company has already received offers between $26 and $28 a share which puts the company valuation somewhere above $15 billion.

What’s next for Twitter, before the IPO ?

twitter logoNow that Twitter has made public its plans, it will need to add some figures to its revenue. The fact that they were able to submit a S-1 form confidentially means that Twitter’s revenue is still under 1 billion (their recent moves show that they are trying to reach that target by end 2014).

Three things to expect now that Twitter has announced it will go public

Soon enough we will probably know more about what’s under the hood but we should be expecting some changes in the company and in the market:

  1. More focus on revenue. Duh! Twitter recently hired ex Ticketmaster CEO Nathan Hubbard to handle Commerce operations. Note that there is no one too high profile handling this at Facebook.
  2. One of the reasons Twitter hasn’t yet gone public is Facebook. Although Mark Zuckerberg seemed to handle the IPO pretty well, the fact is Facebook was overvalued and undertraded in the first half-year after the public offering but then George Soros bought in… Dick Costolo thought it would be better to wait a little bit and see how everything works out for FB. Now that Facebook’s stocks are trading well above its initial prices, things seem to be a little brighter.
  3. Twitter will need to turn their ads into something that generates global traction. That means they will probably implement new formats. I expect it to focus a lot on multichannel experience and conversion.

Author: Mihai Mike Dragan

Mihai Mike Dragan is an ecommerce expert and the cofounder and COO of Oveit, a global company focusing on live experiences technology, both virtual and in-person. Mike has an experience of over 15 years in building digital products, with a focus on ecommerce. He has worked with some of the largest consumer brands in the world, advising on their digital go to market strategy.   Mike Dragan is also the author of the "Understanding Omnichannel Retail - beyond clicks vs. bricks" ebook, a guide for companies that understand consumer behaviour across media. He holds two degrees, one in International Economics and one in Computer Science.

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