Twitter’s Plans To Be Listed On The Stock Market

Twitter has announced it plans to join the stock market. We answer five questions on the social networking site’s plans for stock market flotation.

On Twitter. The company sent out a tweet saying "We've confidentially submitted an S-1 to the SEC for a planned [initial public offering]." Twitter said little else about its refraining from giving a timing or price for the offering and its flotation plans.

Twitter worth from Investors have valued from the micro blogging site at more than $10bn (£6.3bn). Mostly through advertising and companies paying for promoted tweets. These tweets post on people’s timeline, typically reaching 200 million active users, who alone send more than 500 million tweets a day.

According to advertising and recommendation of eMarketer, Twitter is on track to post $583m in income in 2013, up from $288m in 2012.

Andrew Frank, social media expert at technology research company Garner, speaking to the BBC offered some possible reasons: “The IPO” gives its investors a way to get some of the money back that they put into the company at the establishment. It gives the employees a similar kind of event to reward them for the success they've had so far. And it gives Twitter itself extra funds to invest in new projects and modernization.