Salesforce walks away from Twitter buyout as CEO says social network 'wasn't the right fit'
Salesforce, the only serious contender left on the list of Twitter buyout suitors, has ruled out a bit on the fledging social network.
Salesforce walks away from Twitter buyout as CEO says social network 'wasn't the right fit'
Speaking to the Financial Times, the firm's chief executive Marc Benioff confirmed that Salesforce was no longer interested in purchasing Twitter, saying: “In this case we’ve walked away. It wasn’t the right fit for us."
Earlier this month, Disney and Google had also been touted as interested parties, but Twitter's shares have taken a tumble over the past 10 days after reports emerged that neither wanted to pursue a deal. Meanwhile, Salesforce's confirmation that has turned its back on conversations around the sale saw the social platform's share value dip by more than 5%, while Benioff's firm's shares increased by 5.2% at the news.
The move has all but brought an end to attempts to find a buyer for Twitter, with the Financial Times reporting that investment from a private backer seems unlikely at this stage. Ending speculation around a sale will also help Twitter chief Jack Dorsey focus on a strategy to offset slumping user growth, according to a venture capital investor close to the boss.
Earlier this week, Twitter unveiled a mysterious ad campaign across New York Subway stations which expanded on its fresh 'See What's Happening' strapline. Some commentators pointed out that the ads are likely to have found themselves landing before a number of commuting Wall Street Investor types, raising questions over who the push was aimed at.
Twitter is scheduled to reveal its most recent quarterly earnings update on 27 October, and will likely address the matter of acquisition, or its alternatives, then.