Twitter IPO - ETX Capital sets up Greymarket for the Social Networking Service

LONDON, September 13, 2013 /PRNewswire/ --

ETX Capital is providing clients the opportunity to spread bet on or trade CFDs of Twitter, the online social networking service ahead of the group's IPO debut. This is the most hotly anticipated stock offering since Facebook listed its shares last year.

Twitter announced that it filed paperwork with the Securities and Exchange Commission ahead of a planned stock market flotation. No date has been given yet, nor the indicative price-range but private investors value Twitter at more than $10billion and the company is reportedly on track to post $583million in revenues this year and $1billion next year.

The timing of the announcement [start of Q4] does suggest that Twitter could be listed on the market by the end of 2013 - ahead of this debut, we have launched our greymarket listing today for Twitter, allowing clients to trade the reported market capitalisation.

Our current spread for Twitter is between $10.5billion and $11.5billion.

Ishaq Siddiqi, market strategist at ETX Capital said: "Twitter announces intention to float on the stock market; this is the most hotly anticipated IPO since Facebook last year but the market may be a little more wary with Twitter after the troubles that followed Facebook's debut on the stock market. The valuation compared to Facebook however, is far more attractive with private investors valuing the online social networking service at $10billion."

"Speculation however suggests it could be north of that figure, up to $14billion. No price given yet; Twitter can stay quiet for 21 days after this announcement. The online social networking giant is taking advantage of the Jobs Act in the US signed by President Obama last year which intends to spur more companies to list on the market, but more specifically, companies generating less than $1billion who can keep quiet until three weeks before the investor roadshow."

"Given the hype and drama surrounding Facebook last year, it's like Twitter will adopt a more low-key approach, prudently delivering information to the market before the roadshow begins. At the moment, investors are keen to know how Twitter intends to monetize its business through advertising, the acquisition pipeline and how it intends to address the scrutiny surrounding the unregulated format of tweets users can publish."

If you would like any further information regarding our Twitter spread or would like to trade the company's greymarket listing, please contact our trading desk on +44(0)20-7392-1434.

Losses can exceed your deposits.

ETX Capital, a regulated global financial services firm, providing institutional, high net worth and retail customers with multi-asset and multi-market derivative dealing capability through CFDs and financial spread betting products. The firm uses cutting edge technology and delivers unrivalled levels of customer support from knowledgeable staff and with the utmost client confidentiality.

For further information, please contact:
Ishaq Siddiqi, Market Strategist, ETX Capital, +44(0)20-7392-1487, ishaq.siddiqi@etxcapital.com

Joe Rundle, Head of Trading, ETX Capital, +44(0)20-7392-1477, joe.rundle@etxcapital.com

Mark Priest, Head of Equity Index and Market Making, ETX Capital, +44(0)20-7392-1492, mark.priest@etxcapital.com