Twitter announced today that it plans on selling 70 million shares at $17 to $20 each, during its initial public offering.
Bloomberg and The Wall Street Journal did the math and it means that the company is looking to raise about $1.4 billion and values itself at about $11 billion at the high end. This is the biggest tech IPO since Facebook went public in May of 2012.
Bloomberg reports:
"'They're picking a slightly lower valuation to ensure that the IPO goes up on the first day of trading,' Francis Gaskins, president of IPODesktop.com, said in an interview. 'I would definitely buy them in the offering at this valuation.'
"The six-year-old short-messaging site, which draws more than 230 million monthly active users and has transformed the way people communicate, is taking advantage of renewed appetite for social-media stocks to sell a 13 percent stake. While the company has more than doubled revenue annually, it hasn't yet turned a profit and the pace of user gains is slowing. Still, Chief Executive Officer Dick Costolo is betting the service's popularity on mobile phones will help lure advertisers."