Twitter Plans to Raise $1.25B
According to a press release, Twitter plans to offer a $1.25 billion aggregate principal amount of convertible senior notes due in 2026. However, the action will take place in a private placement to qualified institutional purchasers.
In addition, the social media giant will be able to convert the notes into cash, shares of its common stock, or a combination of the two options. Even more, the firm will analyze the interest rate, initial conversion rate, and also other terms of the notes.
Added to this, the firm said that it will use this considerable amount for general corporate purposes, working capital, capital expenditures, and potential acquisitions. At the moment, Twitter has not revealed anything specifically related to Bitcoin in the press release.
Nevertheless, Anthony Pompliano made a comparison between similar things that happened on two occasions by MicroStrategy, a business intelligence firm. Michael Saylor’s company raised over $1.6 billion in total from convertible senior notes offerings. Afterward, they allocated all funds in the said cryptocurrency.
Additionally, Twitter CEO Jack Dorsey is a long-time BTC proponent with various Bitcoin-related projects. Notably, Dorsey’s other firm Square also made two investments in BTC. Moreover, Twitter CFO Ned Segal recently said that the firm could be looking into putting the cryptocurrency on its balance sheet. With this, Twitter may become the second biggest firm to purchase Bitcoin after Tesla’s $1.5 billion BTC investment.
This article first published on coinquora.com
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Source: Cryptocurrency - investing.com
