Twitter’s shares drop after Google and Disney ‘opt out from buying it’
Twitter is for sale, but it now appears that two of its biggest potential buyers aren’t interested in making an offer. The three most likely contenders for the acquisition of the micro blogging site were thought to be Salesforce, Google and Disney.
Sources told Recode that tech giant Google no longer intends to buy Twitter, while other sources said Disney is also opting out of the acquisition. As a result of this, on Thursday Twitter’s shares fell by 19% to $20.10, according to Bloomberg.
This leaves CRM giant Salesforce and tech firm Microsoft as the only potential bidders left in the equation for now. Salesforce never confirmed publically that it would make a bid to buy Twitter, though on Wednesday, Salesforce CEO Marc Benioff told CNBC: “It’s an exciting product, but obviously the business has a lot of challenges, very severe challenges.”
Before Recode published the report stating that Google and Disney might opt out from its acquisition, its share price had closed at $24.87 on Wednesday, up by 5.74%.
Twitter appears to want to end negotiations with potential bidders on 27 October, according to Reuters, after it reports its third-quarter earnings. This would only leave a few weeks before its conclusive prospective buyers are defined.