Twitter looks at $14bn valuation in NYSE listing

Enthusiasm among investors eager for a slice of the hottest new tech IPO led Twitter to raise the price range of its shares by a heady 25 per cent ahead of its debut on the public markets this week.

The microblogging service said yesterday that it had raised the price range for its listing to between $23 (£14.43) and $25 per share, against a previous range of $17 to $20, putting the company on track for a market valuation, at the upper end of the new estimates, of about $14bn. The company is planning to issue 70 million shares. The new range implies that it could raise close to $2bn, money that will come in handy as it looks to expand its reach.

The higher price is a show of confidence after an initially cautious approach that was attributed, in part, to the company’s desire to avoid the problems that marred Facebook’s IPO last year, when the social media giant saw its shares fall below its offer price as investors balked at the valuation. The stock has since recovered thanks to growing cheer at Facebook’s mobile revenues.