According to a form filling, San Francisco-based company, Twitter Inc. has announced that it plans to raise USD 1.3 billion in its first debt offering by issuing convertible senior notes. The company plans two offerings worth USD 650 million, half the debt will be due in 2019, and the other half in 2021. In initial purchases, it is expected to to buy up to USD 100 million in each of the offerings.
The notes will be convertible into cash, shares of Twitter’s common stock, or a combination thereof, at Twitter’s election. The interest rate, conversion rate and other terms of the notes are to be determined upon pricing of the offering.
The company also said, it would use part of the net proceeds for general corporate purposes.
Apart from this, Twitter Q2, 2014 report showed continued user growth with an average of 271 million monthly active users (Of the total, 211 million active users were mobile), an increase of 16 million users, or 24 percent year-over-year.
Till date, Twitter has made around 41 acquisitions. It is consisting of 110 members in its team and having total capital of USD 1.2 billion.
Recent updates: Later this year, Twitter users can expect to find a ‘Buy’ Button in tweets to enter their billing and shipping information for purchasing products on Twitter.
Twitter has recently introduced new product experiences, launched new web profiles with a number of new advertiser tools, continued the international expansion of its advertising products. The firm has also acquired three companies as Gnip, TapCommerce and SnappyTV.
Last month, It rolled out its analytics dashboard to everyone and users can get access by visiting analytics.twitter.com as well as acquired New-York based password-sharing startup Mitro for an undisclosed amount. Also, the company had acquired San-Francisco-based payment startup, CardSpring native mobile advertisement startup Namo Media for a deal amount of around USD 50 million.
It is expecting a planned revenue of USD 1,310 million to USD 1,330 million along with total expenditures in the range of USD 330 million to USD 390 million for the full year of 2014.
Earlier, the company had launched ‘Pay By Tweet’ service with American Express and‘Keyword-Targeting ad feature’. Last year, it had partnered with WPP to increase its advertising revenues and offers text based password recovery service.