Telegram to Raise $1.5 Billion Via Convertible Bonds Backed by BlackRock, Citadel, and Mubadala
Telegram is preparing to raise at least $1.5 billion through a new five-year bond issuance with a 9% yield, according to sources cited by the Wall Street Journal. The offering has attracted strong interest from prominent investors including BlackRock, Abu Dhabi’s sovereign wealth fund Mubadala, and hedge fund Citadel.
The funds will be deployed to repurchase debt from Telegram’s 2021 bond issuance, which is set to mature in March 2026. These bonds come with a convertible feature that allows holders to exchange their debt for equity at a discounted rate if Telegram proceeds with an IPO.
Telegram initially developed the TON blockchain (The Open Network) but later spun it off as an independent project. In April, tokenization firm Libre announced plans to tokenize $500 million worth of Telegram’s debt on TON through the Telegram Bond Fund (TBF).
The platform now boasts more than 1 billion monthly active users and has doubled its paid subscriber count to 15 million within a year, according to CEO Pavel Durov.
Telegram has turned a corner financially, reporting a $540 million profit on $1.4 billion in revenue for 2024, a sharp recovery from a $173 million loss in 2023. The company projects profits to exceed $700 million in 2025.
Revenue growth is being driven by expanded advertising offerings, new digital gifting features, and an ecosystem that supports developer-created apps and bots.
Requests for comment from Telegram and Citadel were not immediately returned.
