Twitter Shares Jump After Co-Founder Says Company Must 'Consider' Sale If Offered
Twitter’s share price opened higher on Thursday following comments by co-founder and former CEO Evan Williams regarding a possible sale of the company. While he initially dodged questions about the social network"s future during an interview with Bloomberg, Williams eventually noted that "as a board member we have to consider the right options."
Shares of Twitter (TWTR) rose as high as $19.60 on Wednesday immediately following the comment and flirted with $20 at around 9:50 a.m. on Thursday. That is still far lower than a 52-week high of $31.87 per share. Wall Street had a similar response a month ago when speculation bubbled up that two high profile shareholders, Microsoft CEO Steve Ballmer and Saudi Prince Alwaleed bin Talal Al Saud, were looking to buy the company. They weren’t, but shares jumped as much as 9 percent anyway.
As Williams referenced during his chat with Bloomberg, being a Twitter board member means it is his fiduciary duty to consider reasonable acquisitions if offered. During the same interview Williams said he believed the company was "in a strong position now," and also in good hands with Jack Dorsey, who officially returned as CEO in October 2015.
He also said he was confident that Twitter could be more valuable. "It’s a matter of innovation and development," he said. "There's not another asset like Twitter in the world."