Telegram might need a new bond placement in order to speed up the introduction of new functions in the messenger and pay employees, since the application is still in a startup state, Managing Partner of B&C Agency Mark Sherman told Izvestia on April 29.
Earlier that day, Vedomosti reported that the Telegram Group company, which owns the messenger of the same name, is conducting a new placement of convertible Eurobonds for $ 750 million. Bloomberg for investors.
“Telegram is now actively introducing new features such as video chats, card payments and so on in order to stay competitive and follow the latest trends. Since the use of the messenger is free and active monetization is not yet noticeable, it is understandable to raise funds for development. The company has already successfully completed one placement, then investors were attracted by the opportunity to convert debt into shares after the IPO, ”Sherman said.
According to him, the company is currently counting on foreign investors, which should confirm the seriousness of its intentions. Investors will look at how the founder of Telegram Pavel Durov will be able to monetize the messenger, what will be the financial parameters of future monetization, which may begin in the near future, judging by the massive introduction of new functions, the expert emphasized.
“Apparently, corporate accounts can become paid, then there can be the introduction of payment services, then targeted advertising, and so on,” the expert concluded.
Telegram Group first placed five-year convertible dollar bonds at 7% per annum until 2026 for the first time on March 12. It was noted that the placement was held at the face value. Durov said on March 23 that the company raised over $ 1 billion from the placement of bonds.
Last December, Durov announced the monetization of Telegram in 2021, introducing paid functionality for businessmen and users with advanced needs. All current services will remain free.