Twitter may receive a formal bid soon for takeover
Twitter, the microblogging social network, might receive a formal purchase offer soon, confirming rumors and speculation that have been around for a while, reports CNBC. It appears Twitter’s directors may be willing to close the curtain on the company’s troubled run on the public markets.
CNBC is reporting that “the social media company is engaged in conversations with potential suitors that are said to include Google and Salesforce, among other technology companies”. Telecom giant Verizon and software giant Microsoft may also be interested, according to TechCrunch.
As rumoured before, Google, who has the resources to buy the company, is a particularly interesting suitor, as buying Twitter would give it a strong foothold to take on Facebook after the relative failure of Google+. Salesforce, a cloud-computing company, known for its CRM tools and cloud computing expertise, is also extremely cash rich and could add Twitter to its diverse line-up of social and cloud enterprise services.
Of late, Twitter has been struggling with slowing user growth, falling stock value, and has been a feeding ground for vicious online abuse to maintain its place among the social- media giants it’s competing with.
Ever since the news of report from CNBC broke out, Twitter’s stock soared about 22 percent in early trading Friday, giving the company a market value of more than $16 billion. The company has “received expressions of interest” from several parties but has not yet received a formal bid, even though one could come shortly, says CNBC.