Nishtha KanalNov 09, 2013 10:23:45 IST
After a stellar performance on day one of its IPO launch, Twitter's shares faced a small slide but enthusiasm is still riding high, it has been reported. The company's stock slid down 4.2 percent to $43 during the late morning trading despite an uptick in the broader market.
By the end of the day’s trading, Twitter’s shares went down 7.24 percent, closing at $41.65. During regular trading Twitter’s valuation fell to $2.3 billion. The Associated Press reports that such volatile trading is common for freshly public stocks as investors gauge supply and demand with limited insight into how well the companies will do on the long run, so there’s nothing to really be worried about.
Suhail Rizvi earns big (Image credit: Reuters)
It has also been reported that one of the biggest gainers from Twitter’s debut happens to be an Indian-born investor called Suhail Rizvi, who raked in $3.8 billion with 15.6 percent stake in the micro-blogging website. Rizvi happens to be somewhat of an enigma in the Silicon Valley circles despite high-profile investments in Facebook, Square and Flipboard as well. Rizvi was also responsible in helping Hugh Hefner take the Playboy empire private.
Twitter opened up its account at the NYSE this week with its shares closing at an impressive $44.90. The share prices being pegged at $45.10 at the opening bell saw Twitter’s value being pegged at $25.05 billion, a huge jump from the $26 price per share being set by the company. It allowed Twitter to have a valuation of $14 billion previously, essentially meaning Twitter potentially left $1.25 billion on the table.
(With inputs from agencies)