NEW YORK (TheStreet) -- Twitter upped the range of its initial public offering, as it looks to sell up to $1.75 billion worth of common stock to fuel its growth plans.
In an amended S-1 filing with the Securities and Exchange Commission, San Francisco-based Twitter said it will sell its shares at a range of $23 to $25 a share, up from a prior range of $17 to $20 a share. It will sell 70 million shares during the offering, and the underwriters have the option to purchase up to an additional 10.5 million shares from Twitter at the initial public offering price less the underwriting discount.
In addition to the amended pricing, Twitter also said that IBM (IBM) is accusing the micro-blogging site of infringing on three of its patents.
"From time to time we receive claims from third parties which allege that we have infringed upon their intellectual property rights," Twitter said in the filing. "In this regard, we recently received a letter from International Business Machines Corporation, or IBM, alleging that we infringe on at least three U.S. patents held by IBM, and inviting us to negotiate a business resolution of the allegations." The patents identified in the letter were U.S. Patent No. 6,957,224: Efficient retrieval of uniform resource locators, U.S. Patent No. 7,072,849: Method for presenting advertising in an interactive service and U.S. Patent No. 7,099,862: Programmatic discovery of common contacts.
Twitter noted it believes it has "meritorious defenses to IBM's allegations, although there can be no assurance that we will be successful in defending against these allegations or reaching a business resolution that is satisfactory to us."