Twitter Shares Jump on Buyout Report

Twitter Inc. (NYSE: TWTR) shares surged Friday after CNBC reported that the social media company will soon gets a takeover offer.

CNBC’s David Faber said the social media company received expressions of interest from several companies and may receive a formal bid shortly. Suitors include Salesforce.com Inc. and Alphabet Inc. CNBC said without citing its sources.

Twitter shares were up 19.81 percent to $22.33 in the early trading in New York. The shares were down 20 percent this year before Friday.

Speculation about Twitter looking for sale has been swirling for months. The company has been struggling to increase new users.

The move comes just after RBC tech analyst Mark Mahaney downgraded the company to underperform, which sent shares lower after yesterday’s close.

Its potential acquirer Salesforce shares were trading 4 percent down to $71.59. Salesforce.com’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.”

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