JP Morgan’s Digital Growth Fund is in discussions to buy a 10% stake in online messaging service, Twitter, for $450 million, Financial Times reports. The move will value Twitter at $4.5 billion. The fund will not acquire shares on the secondary market, instead will either make a direct investment or buy out existing investors and shareholders with Twitter’s approval.
JP Morgan may invest another third of the fund in other private web company, Zynga or telephony provider, Skype. The fund, which has raised $1.22 billion to date and plans to raise $1.3 billion in total, will give rich clients exposure to fast-growing private tech companies.
Click here for the story from Financial Times.