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Telegram has successfully issued $1.7 billion in 9% bonds. Who are the investors, what is the debt strategy, and what is the impact?

30 May 2025 3 min

Telegram, the renowned instant messaging app known for its focus on privacy, has just made financial history. The company, led by Pavel Durov, successfully issued bonds worth $1.7 billion with a five-year tenor and a 9% coupon, maturing in June 2030. This move is a strong testament to the global market’s confidence in Telegram’s performance and prospects. What’s the strategy behind this major move, and who are the key investors involved?

Unlike issuing shares, which means relinquishing some ownership, bonds are a debt instrument. Investors who purchase Telegram’s bonds are essentially lending money, not buying equity or control of the company. They are only entitled to receive interest payments and principal repayment as scheduled. Telegram remains fully owned by Pavel Durov, the visionary behind the platform’s success.

This bond issuance is also a smart solution to maintain Telegram’s independence. By choosing bonds, Telegram gains fresh capital without “sharing” ownership with external parties. This approach is why many tech companies choose to raise funds through debt to protect their vision and governance.

A key element of this issuance is the exchange offer mechanism. Telegram previously had around $1 billion in bonds maturing in March 2026. More than $950 million of these old bonds were exchanged for the new bonds, indicating that the majority of investors chose to extend their investments. Why did they agree? One reason is the higher yield, now at 9% per annum, compared to the previous 7–8%.

Investor demand for Telegram’s bonds was extremely high—so much so that the initial offer of $1.5 billion had to be increased to $1.7 billion. Notable participants include BlackRock (the world’s largest asset manager), Mubadala Investment Company (Abu Dhabi), and Citadel (a US hedge fund). There was also participation from several Israeli institutional investors, although their allocation was reduced due to overwhelming global demand.

Telegram did not disclose precisely which investors exchanged their old bonds for the new ones. However, in general, most of the previous major institutional investors chose to exchange bonds and trust Telegram with their funds for a longer period.

It’s not just the high yield that attracts investors. Telegram’s new bonds also offer an option to convert to shares at a 20% discount if the company decides to go public before maturity. Additionally, Telegram’s financial reports show it is now profitable, with revenues exceeding $540 million in 2024 and projections of $700 million in 2025—giving investors even more confidence in the company’s prospects.

With these funds secured, Telegram announced it has more than enough resources to pay off any remaining old bonds and further strengthen its financial position. This is particularly reassuring for institutional investors seeking opportunities in the global tech sector.

All of these strategies ultimately center on Pavel Durov. He remains the principal owner and controller of Telegram. By choosing debt via bonds, Durov keeps Telegram independent from external influence a principle Telegram has upheld from the start, both in technology and business.

This bond issuance ensures that Telegram has sufficient capital for expansion, innovation, and future debt obligations. For users, this means Telegram’s services can continue to grow without pressure from outside investors demanding changes in policy. Telegram remains the primary choice for those who value privacy and communication freedom.

Telegram’s $1.7 billion bond issuance is not just another corporate move. It is a smart strategy to maintain full control while securing major funding, with a positive response from global investors. With an even stronger financial position and independent vision under Pavel Durov’s leadership, Telegram is more prepared than ever to challenge the dominance of global tech giants.