![]() Most people consider Musk’s purchase of Twitter a fait accompli. “So that’s the only possible way - if literally no one wanted this.” “You don’t want to have shareholders say, ‘You didn’t even ask Google,’” the banker added. Goldman would have to sign what’s known as a “fairness opinion” that Twitter was getting the best deal it could. “They weren’t able to find anyone else who was remotely interested,” the banker told me. Goldman Sachs, on behalf of Twitter, had gone out and asked every other potential buyer it could think of to swoop in and make a better deal - and gotten a hard pass. When Twitter’s board abruptly changed its tune on his offer to buy the company - from poison pill to LFG!! - bankers surmised what had happened. “I have personally not seen Twitter pitched to any client as a great opportunity.”īut then, of course, along came Elon Musk. ![]() The numbers don’t work,” said a banker who works on tech and media deals. ![]() Bankers and private-equity firms ran leveraged-buyout analyses on Twitter umpteen times, always reaching the same conclusion: It simply didn’t make enough money to pay back the debt they would have to take on. Old-media buyers, like Disney, found the service and its copious neo-Nazis too odious for their family-friendly brands. Twitter had grown too large and expensive to be taken over by a bigger tech company, which - even if one could afford it - would probably never get the acquisition past the antitrust cops in Washington. ![]() Photo: Patrick Pleul/POOL/AFP via Getty Imagesįor years among tech dealmakers on Wall Street, as they surveyed the burgeoning social-media landscape for M&A targets, one question had them stumped: How do you solve a problem like Twitter? ![]()
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