A couple of days ago, several US financial companies decided to sue Twitter. They claim 124 million dollars. The reason is that that Twitter derailed the sales of its stock right in advance of its IPO. The IPO is scheduled for November 6th. November 7th is expected to become the fist day when Twitter’s stock will become available for trading.
The previous price range was set between 17 and 20 dollars per share. According to some sources, Twitter is planning to attract some $1.6bn during the forthcoming IPO. Precedo Capital Group and Continental Advisors accuse Twitter of secretly selling the shares owned by its employees and early investors. The deal is estimated at 278 million dollars. This was done to reach the market capitalization level equal to $10bn.
Meanwhile, Facebook, Twitter’s major rival, is currently seeing its stock appreciating. The chart below, courtesy of Masterforex-V Academy, confirms that:
