Stock Market

Twitter may receive formal bid;Salesforce, Google likely suitors

Twitter shares surged Friday after sources said the ailing social media moved closer to being sold.

The sources said the company has received expressions of interest from several technology or media companies and may receive a formal bid shortly.

The potential suitors include Google and, among other technology companies, sources said.

Shares of Twitter were up 20 percent Friday.
Twitter’s board of directors is said to be largely desirous of a deal, according to people close to the situation, but no sale is imminent. There’s no assurance a deal will materialize, but one source close to the conversations said that they are picking up momentum and could result in a deal before year-end.

Suitors are said to be interested as much in the data that Twitter generates as its place as a media company. Salesforce declined to comment to CNBC and other companies did not immediately provide a comment.

But’s chief digital evangelist, Vala Afshar, tweeted his personal views about Twitter after the report.

Why @twitter?

1 personal learning network
2 the best realtime, context rich news
3 democratize intelligence
4 great place to promote others

— Vala Afshar (@ValaAfshar) September 23, 2016

I have tweeted my personal views regarding ‘Why Twitter?’ numerous times over the past couple of years. I simply love Twitter.

— Vala Afshar (@ValaAfshar) September 23, 2016

It comes after a Wall Street Journal report earlier this year indicated that Salesforce would have bid for fellow social network LinkedIn, which later reached a deal with Microsoft.

Salesforce’s stock was down 3 percent on Friday morning. Google’s share price was flat.

Before the report about the talks surfaced, RBC tech analyst Mark Mahaneydowngraded Twitter to underperform from market perform on Friday, predicting a 25 percent drop in the stock because of weak ad revenue. In its most recent quarterly report, it posted its slowest revenue growth since going public in 2013 and issued a lackluster outlook.