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Who will get rich from Twitter's IPO?

Who will get rich from Twitter's IPO?

Just about everyone in Silicon Valley has dreamed of striking it rich with a well-timed investment. Analysts estimate that when Twitter debuts on public markets, its valuation will hit around $10 billion.

Reuters and Reuters
  • Updated Oct 4, 2013 12:13 PM IST
Who will get rich from Twitter's IPO?PHOTO: Reuters
Just about everyone in Silicon Valley has dreamed of striking it rich with a well-timed investment. Analysts estimate that when Twitter debuts on public markets, its valuation will hit around $10 billion.

Here is a list of the number of shares owned by some of the people and investment firms that will benefit the most from Twitter's initial public offering (IPO):

EXECUTIVE OFFICERS AND DIRECTORS:

> Evan Williams (56,909,847 shares, or 12 per cent): Williams was Twitter's CEO until 2010, when current CEO Dick Costolo took the helm. He is now working on a publishing platform, Medium, which is dedicated to long-form content.

> Benchmark (31,568,740 shares, or 6.7 per cent): Venture firm Benchmark started investing in Twitter in 2009 when it was valued in the $200 million-$250 million range. This stake includes shares owned by partner Peter Fenton, who led the firm's investment in consumer-Internet play Yelp, holds a board seat at Twitter.

> Jack Dorsey (23,411,350 shares, or 4.9 per cent): Dorsey co-founded Twitter and still serves as its chairman. In 2009, he founded payments service Square and serves as its CEO.

> Dick Costolo (7,589,608 shares, or 1.6 per cent): A onetime improvisational comedian, Costolo took the helm of Twitter in 2010. He joined Twitter as COO the year before, after he and co-founders sold their web feed management provider FeedBurner to Google in 2007.

> Adam Bain (1,722,350 shares, or less than 1 per cent): Bain is the president of global revenue at Twitter. He was formerly the president of audience network at News Corp's Fox Interactive Media.

> David Rosenblatt (283,333 shares, or less than 1 per cent): Rosenblatt is the CEO of luxury online retailer 1stdibs.com and is a member of Twitter's board of directors.

THE FOLLOWING GROUPS OWN AT LEAST 5 PER CENT:

> Rizvi Traverse Management: A closely held private-equity fund based in Michigan, Rizvi has made a name for itself by buying stakes in entertainment companies such as Playboy and movie producer Summit Entertainment. Last year, it led a $200 million funding round in Jack Dorsey's payments company, Square.

> Spark Capital: Venture firm Spark started investing in Twitter in 2008. For a time, Spark partner Bijan Sabet served on Twitter's board.

> Union Square Ventures: Venture firm Union Square started investing in Twitter in 2008. For a time, USV partner Fred Wilson served on Twitter's board.

> DST Global: The investment firm founded by Russian billionaire Yuri Milner led a $400 million investment in Twitter in 2011. At the time, Twitter was valued at around $8 billion.

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Published on: Oct 4, 2013 12:13 PM IST
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