Twitter and Yahoo discuss potential merger
The media are reporting how Twitter is another in a growing list of companies looking to merge with Yahoo, but both sides are playing the news down.
The New York Post recently reported how executives from both sides met recently to discuss a possible merger, with a source saying "The idea isn't as crazy as you might think."
However, Twitter's comment was "We don't comment on rumour and speculation," while Yahoo remained completely silent on the matter. Further adding to the possible frivolity of the entire deal is the fact that Twitter's CEO, Jack Dorsey, didn't even show up to the meeting.
"When your CEO doesn't show up for a management meeting, you have to wonder how serious it was," the source said. Apparently, the micro-blogging site's interest wasn't driven by "some huge thesis – it was a flyer."
Both companies have been struggling as of lately. Yahoo has been pushed aside by other big players like Google and Microsoft's Bing, and its CEO Marissa Mayer recently cut 1,700 jobs. She also invited all interested parties do discuss strategic solutions, saying the company's ready to "engage on qualified strategic proposals."
Twitter, on the other side, has also been sailing on turbulent waters lately. The inability of the micro-blogging site to attract new users has left the investors disappointed, and after its former CEO Dick Costolo left the company, it took Twitter months before appointing co-founder Jack Dorsey.
Speculations regarding price go as high as $4 billion, with $3bn being in debt financing, and $1 in equity check.
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