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How the Price of Twitter’s Deals Has Dropped

Source: The Information Research

When the founders of marketing technology firm TellApart struck a deal to sell their company to Twitter 14 months ago, it looked like a great exit. The price tag at the announcement was more than $532 million, seemingly guaranteeing a solid return for TellApart’s employees as well as investors who’d put a total of $17.75 million into the company.

But Twitter paid for TellApart mostly with Twitter shares, which fell about 10% by the time the deal closed, reducing its total value to $479 million. The stock has fallen another 57% since then, slashing the value of the acquisition to only $235 million. Any TellApart investors who held onto the Twitter shares they got would have seen a big decline in the value of what they received.

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BlueFin was acquired for $67 million in stock. At the time Twitter’s stock price was valued at around $17 a share, filings show. That meant BlueFin’s investors, if they’re still holding onto their stock, would be down a little bit at the current price.

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