According to Bloomberg, Walt Disney Co. is said to be working with a financial adviser to look into a possible bid to acquire Twitter according to those who are familiar with the matter.
With interest in a potential deal picking up, Twitter has begun evaluating a potential sale. Salesforce.com Inc. is looking into a potential transaction as well and is working with Bank of America, who asked not to be named due to it still being a private matter.
Interestingly, Jack Dorsey, CEO of Twitter, is also on the board at Disney.
In this day and age of cord cutting, Disney may potentially be looking to keep an eye on the future.
“It’s a video distribution play,” mentioned James Cakmak, an analyst with Monness Crespi Hardt & Co. “What Disney has to think about is what is its place in a post cord-cutting world. They are investing in technology for distribution – and this would give them the platform to reach audiences around the world.”
Disney Chairman and CEO has a reputation as a strategic planner who likes to make some bold bets. His last major acquisition? Animation studio Pixar in 2006, to the tune of $7.4 billion. I’d say that worked out pretty well. Would Twitter do the same?
Might take more than 140 characters.