Telegram, the popular encrypted messaging platform, is set to raise $1.5 billion through a new bond issuance, signaling a bold move to bolster its financial position.
The deal, reportedly in the works for this week, has attracted interest from major institutional investors, including BlackRock, Citadel, and Abu Dhabi’s sovereign wealth fund Mubadala, according to sources familiar with the matter.
The five-year bonds will offer a 9% yield, making them an attractive option for investors seeking high returns. The proceeds are intended to refinance Telegram’s existing debt from a 2021 bond issuance, which is due to mature in March 2026.
The company has already repurchased approximately $400 million of that earlier debt using its cash reserves, demonstrating a proactive approach to managing its liabilities.
This issuance also includes an option for investors to convert their bonds into equity at a discount should Telegram pursue an initial public offering (IPO) in the future.
While no specific IPO timeline has been confirmed, the structure suggests the company is laying the groundwork for a potential public listing, a prospect that has long been speculated upon by market observers.
Despite facing legal challenges involving its founder and CEO, Pavel Durov, who remains under investigation in France, Telegram’s financial turnaround has bolstered investor confidence. The company reported a $540 million profit on $1.4 billion in revenue in 2024, a stark improvement from a $173 million loss the previous year.
With projections of over $700 million in profit on $2 billion in revenue for 2025, Telegram’s growth—driven by premium subscriptions, advertising, and its expanding user base of over 1 billion monthly active users — continues to impress.
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The involvement of heavyweight investors like BlackRock, Citadel, and Mubadala underscores the market’s belief in Telegram’s long-term potential, even amidst its legal uncertainties.
This bond deal could mark a significant step in reshaping the company’s financial strategy and reinforcing its position in the digital communications landscape.
