Reports: Twitter Looking To Raise More Money

Twitter is apparently in discussions with venture capitalists to raise more capital, TechCrunch reported today and MediaMemo confirmed. The new round is reportedly valued at $250 million.

To date, the company has raised about $20 million, and the latest cash infusion came in June 2008. Since then, Twitter has had to beef up its infrastructure to support its growth, acquired a company, and a couple of weeks ago finally hired a head of business development. But if companies that use Twitter as a platform are able to raise capital right now, why not Twitter, too, right? After all, it was Facebook that offered to pay $500 million in cash and stock for the micro-blogging service.

TechCrunch reported two sources saying that Twitter has signed a term sheet with IVP to raise the new round at the $250 million valuation (The previous $15 million round supposedly was valued at $100 million). Investors to date include: Spark Capital, Bezos Expeditions, Union Square Ventures and Digital Garage.

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