Riod
Joined 10 years ago
Joined 10 years ago
Periscope doesn't fulfill the "toothbrush" principle, aka stuff that you use every day. That's how Google does M&A. Their corporate development people have talked about it publicly.
Also, the shares turnover every 26 days given that about 26MM shares trade every day. Hard to say that a majority of the shareholder base would not accept a 40% premium.
Also the competition in the bidding process matters. There are a limited number of players who can/will swallow an acquisition this size. Public companies never get bought for these numbers. Why would Google bid that when a 30-40% premium would be enough for most shareholders to vote yes?
On twitter itself, I feel the quote, "clown car that fell into a goldmine" attributed to mark zuckerberg is pretty appropriate.