Twitter said it has received a credit line of $1 billion from banks ahead of its initial public offering (IPO).

Twitter is an online micro blogging and social networking service that people use to send and read "tweets", which are text messages limited to a maximum of 140 characters. Based in San Francisco, the company was created in 2006 and now has it has offices in other cities such as New York City, Boston and San Antonio.

The service offered by Twitter gained high popularity globally and now has millions of users worldwide, who access the service regularly. Twitter is also one of the top 10 most visited websites in the world and sometimes is also referred to as "the SMS of the Internet."

Recently, Twitter announced that it hit 231.7 million users on a monthly basis by the end of Q3 2013. The figure is up from 218.3 million users, indicating an increase by 6.13 percent from the end of Q2 2013. However, the company's growth rate has slipped when compared to previous quarters. Twitter had a growth rate of 6.86 percent in Q2 2013, 10.27 percent in Q1 2013, and 10.77 percent in Q4 2012.

Twitter has indicated a tentative IPO release date of November 15 on NYSE, rather than Nasdaq Stock Exchange.

The company's amended investors prospectus indicated that the company has set up a revolving credit agreement with some lenders this month. The credit line allows the company to borrow a maximum of $1 billion.

If Twitter uses the credit line, then it will have to pay interest to the borrowers based on common market rates. Additionally, the company will also have to pay a margin to the banks and related fees. However, Twitter confirmed that it had not borrowed any amount as at Tuesday, October 22.

The upcoming Twitter IPO release will be one of the most closely watched IPOs in the social media segment after Facebook went public in 2012.

Twitter's shares will trade under TWTR on the NYSE.