According to sources who were familiar with the matter, Twitter Inc had planned to pay its bankers a 3.25% fee for managing its initial public offering on November 15. The sources also added that the microblogging service company would be starting a promotional tour with its bankers on the last week of this month. The sources refused to be identified as the new details were not yet made public.
Bloomberg cited one of the sources in its report that Twitter would be leaning to list on the New York Stock Exchange, although the company was still in negotiations with the said bourse. The same person also said Twitter was also mulling over the possibility of listing on Nasdaq and had been working out details such as whether Nasdaq would be capable of handling its public listing and what fees would be associated with the listing.
The 3.25% fee planned to be paid by Twitter's bankers was reportedly higher than the fees paid by Facebook Inc in its IPO. Two people who were familiar with both negotiations said this was because Twitter's offering was a lot smaller than the offering of the social networking company. Facebook's USD16 billion IPO last year had its management paying a 1.1% fee to its bankers.
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