Twitter sale: Google reportedly in talks to buy site
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Version 0 of 1. Twitter is reportedly on the verge of a sale, with Alphabet’s Google and SalesForce, a US cloud computing company, amongst the potential buyers. Rumour of a potential sale came as the company grapples with its slowest revenue growth since going public in 2013. Twitter has “received expressions of interest from several technology or media companies” and may be about to receive a formal bid, CNBC has claimed citing sources. Twitter and Alphabet could not be reached immediately for comment. Salesforce declined to comment. But the rumour of a potential sale has Wall Street investors excited. Twitter's stock has skyrocketed by more than 20 per cent in mid-morning trading on Friday. A sale by the end of the year is within the realm of possibility, according to CNBC. Twitter’s stock has been under pressure for several months while growth in user numbers has stalled, rising just 3 per cent to 313 million in its most recent quarter. The company has struggled to keep up in the face of fierce competition from rival social media platforms such as Snapchat and Instagram. In its most recent quarterly earnings statement, Twitter's revenue missed Wall Street estimates and the revenue forecast for the current quarter of $590 million to $610 million was well below the average analyst estimate of $678.18 million. Earlier this week, Twitter has announced that it will completely change how the tweet’s limits work. Images and other media that are included in them will no longer count towards the limit – but the 140 character restriction will stay.
Additional reporting by Reuters Click here to download your free guide on five shares to watch in 2016, with Independent Partner, Hargreaves Lansdown |