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Twitter shares fall on reports Google won't bid

Thursday, October 06, 2016 - 01:11

Twitter has told potential acquirers it is seeking to conclude negotiations on a sale by the time it reports third-quarter earnings on October 27, according to people familiar with the matter. But, as Graham Mackay reports, its shares fell on news that Google apparently won't bid.Twitter has told potential acquirers it is seeking to conclude negotiations about selling itself by the time it reports third-quarter earnings on Oct. 27, according to people familiar with the matter. But, as Graham Mackay reports, its shares fell on news that Google apparently won't bid.

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Shares of Twitter down more than 9 percent after hours on Wednesday... after tech site Recode put out a front page splash saying Google isn't interested in buying the company... and Apple and Disney are probably out of the race too. Twitter has been looking for a buyer for a while... It's been struggling to generate revenue growth and profit - Many saying a heavy hitter in the tech world could be the answer to its problems... But according to Recode's sources - the message is "don't hold your breath". (SOUNDBITE) (English) SENIOR FX STRATEGIST, RABOBANK, JANE FOLEY, SAYING: "There is some potential interests out there from at least three large corporates but you have got to look at the downsides associated with Twitter and the first is profitability. But more than that it hasn't been that successful in increasing growth of its user base." The San Francisco cloud storage giant Salesforce is in the running... But even so, there's still a big question mark hanging over that scenario.. Twitter says it wants to strike a deal before third quarter earnings come out on October 27th... And with signs that shares could be skating on thin ice... Investors won't want the hunt for a buyer go on any longer than it has to.

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Twitter shares fall on reports Google won't bid

Thursday, October 06, 2016 - 01:11