Saudi prince invests $300 million in Twitter
1–10 of 51 posts
Re: Saudi prince invests $300 million in Twitter
#2Very interesting, but it really makes me wonder.
If Twitter is making money, why dilute the shares with investment like this?
I'm sure one response is 'so they can grow the company', but that seems like a bit of a hard sell at this point.
How big does a company like Twitter really need to grow in order to be successful enough that they don't need to take $300 million investment deals? I mean, they are already the #1 provider of 140 character communication.
What is next?
Re: Saudi prince invests $300 million in Twitter
#3Anybody know if this was a direct investment, or through a secondary market?
Re: Saudi prince invests $300 million in Twitter
#4Very interesting, but it really makes me wonder. If Twitter is making money, why dilute the shares with investment like this? I'm sure one response is 'so they can grow the company', but that seems like a bit of a hard sell at this point. How big does a company like Twitter really need to grow in order to be successful enough that they don't need to take $300 million investment deals? I mean, they are already the #1…
What I've heard people say is that if you can get money, get it. (on your terms of course)
There's not much that Twitter has done in improving their product (been 5 years)..which is something I don't really understand too much.
Re: Saudi prince invests $300 million in Twitter
#5Very interesting, but it really makes me wonder. If Twitter is making money, why dilute the shares with investment like this? I'm sure one response is 'so they can grow the company', but that seems like a bit of a hard sell at this point. How big does a company like Twitter really need to grow in order to be successful enough that they don't need to take $300 million investment deals? I mean, they are already the #1…
I'd be surprised if a lot of the $300M doesn't go towards existing shareholders cashing out.
Re: Saudi prince invests $300 million in Twitter
#6Very interesting, but it really makes me wonder. If Twitter is making money, why dilute the shares with investment like this? I'm sure one response is 'so they can grow the company', but that seems like a bit of a hard sell at this point. How big does a company like Twitter really need to grow in order to be successful enough that they don't need to take $300 million investment deals? I mean, they are already the #1…
I am not certain but it is possible that this was a secondary market purchase. The fact that it was announced by the Prince and not announced as a funding round by Twitter suggests a secondary market purchase.
In other words, the Saudi Prince may have bought the stake from an existing Twitter investor.
Re: Saudi prince invests $300 million in Twitter
#7Very interesting, but it really makes me wonder. If Twitter is making money, why dilute the shares with investment like this? I'm sure one response is 'so they can grow the company', but that seems like a bit of a hard sell at this point. How big does a company like Twitter really need to grow in order to be successful enough that they don't need to take $300 million investment deals? I mean, they are already the #1…
They won't get higher prices for their stock that what people like this are willing to pay. They need a killer business model or a lot more scale to have revenues large enough to justify their valuation.
Taking this kind of money keeps them in business long enough to build real revenues (or fail).
Re: Saudi prince invests $300 million in Twitter
#8How much of Twitter does that get him?
Re: Saudi prince invests $300 million in Twitter
#9Very interesting, but it really makes me wonder. If Twitter is making money, why dilute the shares with investment like this? I'm sure one response is 'so they can grow the company', but that seems like a bit of a hard sell at this point. How big does a company like Twitter really need to grow in order to be successful enough that they don't need to take $300 million investment deals? I mean, they are already the #1…
They won't get higher prices for their stock that what people like this are willing to pay. They need a killer business model or a lot more scale to have revenues large enough to justify their valuation. Taking this kind of money keeps them in business long enough to build real revenues (or fail).
I was trying to be subtle, but still say that I find it amazing that Twitter hasn't figured out a business model yet. Anyone I've talked with any bit of knowledge has always said that they are raking in the cash selling data analysis and things like promoted tweets.
That said, as other people have commented, maybe Twitter didn't have a choice in this matter. If so, that would have been an interesting phone call to listen in on.
Assume you have $300 million worth of Twitter stock that you can sell. Imagine getting a phone call along the lines of: "The Saudi prince is calling, and he'd like to buy all your stock for $300 million." I'd be sh*tting bricks and trying to figure out if there are any new Gunboat 90's [1] available to purchase. ;-)
Re: Saudi prince invests $300 million in Twitter
#10How much of Twitter does that get him?
[deleted]