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$500 Million Takeover By FaceBook Rejected By Twitter

Facebook.com, world's most wide spread social network's offer for takeover of Twitter.com was rejected.

Facebook had offered $500 Million for the takeover of Twitter.com, from which $100 Million was offered cash and the remaining amount in the form of Facebook Stock. There were several reasons due to which the deal was rejected. One of the major issue due to which the deal was put off was, the Twitter investor's wanted cash. Some other reason's were, the real value of Twitter was lesser than what was offered and Twitter had its on secret revenue model coming up rather to sell it.

Some sources even revealed that the Twitter investor's were not that interested to sell. This could also be one of the main reason's due to which the deal was put off. If the investor's were thinking to sell the Social Community to Facebook, they were demanding cash for the deal rather than Facebook stock which the Facebook Authorities never had.

Twitter had even laid an excuse that the valuation of Facebook was termed more, $15 Billion, which was rather $5 Billion. So therefore the stock which the Facebook authorities were giving was overvalued.


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