Twitter drops 9% after report that Google won't bid

Published Thu, Oct 6, 2016 · 01:02 AM

[SAN FRANCISCO] Shares of Twitter slumped 9 per cent late on Wednesday after Recode reported that Google, owned by Alphabet, would not move forward with a bid to acquire the social network.

Citing sources it did not identify, Recode also said that Apple was unlikely to be one of the possible suitors.

Twitter has told potential buyers it wants to conclude negotiations about selling itself by the time it reports third-quarter earnings on Oct 27, people familiar with the matter told Reuters.

Salesforce.com Inc is in the running, while Alphabet and Walt Disney Co have also contemplated bids, the people told Reuters.

Twitter's stock was last down 9.21 per cent in after-hours trade at US$22.58.

The company has struggled to generate revenue growth and profit, despite having some 313 million average monthly active users and a growing presence as a source of news.