Twitter was wise to reject Facebook’s $500 million all-stock acquisition offer. - Inspired by Kara Swisher

According to Kara Swisher, about three weeks ago Twitter rejected a deal in which Facebook offered to acquire it for $500 million of its stock, which also included a cash component.

Swisher reports that the deal broke down for a number of reasons, perhaps the most prominent of which was timing: " Well, as is usually the case, (the deal falthered) over price–was $500 million worth of Facebook stock actually worth $500 million?–and the typical concerns about integration and costs.
But, more important, it seems, was a feeling among Twitter investors and execs that the start-up should still take a shot at building its revenues–there are none right now–as well as it had done at building its growth."

To read the full piece, click here.