Board planning to sell Twitter, decision on September 8
Social media giant Twitter might follow Yahoo’s example soon, by opting for an acquisition say reports.
Investors are excited about a possible sale of the company any time as Twitter shares saw a rise in stock market, despite showing an appalling performing this year, reported qz.com.
Recently, after Microsoft’s acquisition of LinkedIn, Twitter shares show a record jump of 14%. To add to the speculation on the Twitter sale, Ev Williams told in an interview to Bloomberg TV last week that its board members need “to consider the right options”.
It has invited the attention of speculators, and Twitter share jumped by 6%. Now, it is said that its directors are likely to take a decision on the future of company in a meeting on September 8.
Earlier, rumours on a possible take over of Twitter by media moguls Rupert Murdoch’s News Corp have been going round.
Still, giants like Google and Apple are some of the potential buyers. Google aims at using Twitter’s over 300 million users to pich the battle against its arch-rival Facebook to control the social media.
Twitter also faces one of its bad performances in last quarter. But, Twitter is also facing many obstacles in going for a complete sold out.
The estimated cost of the deal is too high which puts bars on the sale by many prospective buyers.
“Using the same multiple LinkedIn got from Microsoft in its recent $26 billion acquisition deal, a Twitter buyer would have to fork over about $18 billion,” reported Recode.
To make way for the deal, Twitter may plan for another set of layoffs. Since Jack Dorsey took charge as its permanent CEO, last October, it reduced 8% of employees.
However, it faces several challenges like online abuse and safety concerns. It has to clean its house first by tackling issues of emergence of narrow minded and racially over loaded trolls and accounts in its network.